Overseas investment decision for case 201510023 - Itoham Foods Inc

An overseas investment in sensitive land, being the Applicant's acquisition of rights or interests in up to 65.0% of the shares of ANZCO Foods Limited which owns or controls:

• a freehold interest in approximately 73.7801 hectares of land at Eltham, Taranaki; and
• a freehold interest in approximately 6.8770 hectares of land at Waitara, Taranaki; and
• a freehold interest in approximately 203.9098 hectares of land at Bulls, Rangitikei District; and
• a freehold interest in approximately 227.6104 hectares of land at Christy's Road, Canterbury; and
• a freehold interest in approximately 602.8135 hectares of land at Seaside Road, Canterbury; and
• a freehold interest in approximately 361.3842 hectares of land at Seafield Road, Canterbury; and
• a freehold interest in approximately 24.6007 hectares of land at Blenheim,  Marlborough; and
• a freehold interest in approximately 5.3282 hectares of land at Ashburton, Canterbury; and
• a freehold interest in approximately 0.5322 hectares of land at Dunedin, Otago; and
• a freehold interest in approximately 141.5327 hectares of land at Kokiri, Westland.

An overseas investment in significant business assets, being the Applicant’s acquisition of up to 65% of the shares in ANZCO Foods Limited, which has assets in excess of $100 million.

Itoham Foods Inc (“Itoham”), a Japanese company that specialises in meat products, bought shares in ANZCO Foods Limited in 1995.  It now seeks to increase its shareholding by approximately 17%.  Itoham has been a supportive major shareholder in ANZCO Foods Limited over the previous 20 years and the overseas investment will enable Itoham to continue to do so.

The overseas investment transaction has satisfied the criteria in sections 16 and 18 of the Overseas Investment Act 2005. The 'substantial and identifiable benefit to New Zealand' criteria were satisfied by particular reference to the following factors:

Overseas Investment Regulations 2005
28(c) – Affect image, trade or international relations
28(e) – Previous investments
28(j) – Oversight and participation by New Zealanders