| Decision | Consent granted retrospectively Sections 12(a) and 12(b) Overseas Investment Act 2005 |
|---|---|
| Decision Date | 11 August 2016 |
| Investment | An overseas investment in sensitive land, being Allied Faxi New Zealand Food Co., Limited’s acquisition of a freehold interest in approximately 4.4529 hectares of land at 112 Kerepehi Town Road, Kerepehi (the “Land”) (retrospective investment). An overseas investment in sensitive land, being Beijing Sanyuan Foods Co., Ltd acquisition of an interest in up to 90% of the issued share capital of Beijing Allied Faxi Food Co., Ltd which indirectly owns or controls a freehold interest in the Land (prospective investment). |
| RETROSPECTIVE INVESTMENT | |
| Consideration | $2,860,000 |
| Applicant | Allied Faxi New Zealand Food Co., Limited Chinese Government, China, People's Republic of (32.333%) Yu Pan, China, People's Republic of (30.0%) PEG China Private Equity Fund L.P., China, People's Republic of (23.282%) Beijing Allied Hongda Trading Co., Limited, China, People's Republic of (10.276%) Beijing Jingguoguan II Equity Investment Management Centre L.P., China, People's Republic of (4.109%) |
| Vendor | New Nature NZ Limited Yu Pan, China, People's Republic of (100%) |
| PROSPECTIVE INVESTMENT | |
| Asset Value | $15,000,000 |
| Applicant | Beijing Sanyuan Foods Co., Limited Chinese Government, China, People's Republic of (46.9487%) China Public (21.86%) Shanghai Pingrun Investment Management Co., Ltd, China, People's Republic of (16.67%) Skysoar Limited, British Virgin Islands (10.1921%) Shanghai Fosun Chuanghong Equity Investment Fund Partnership (L.P.), China, People's Republic of (3.78%) Wii Pte Limited, China, Singapore (0.4691%) Various overseas persons (0.08%) |
| Vendor | Existing shareholders of Beijing Allied Faxi Food Co., Limited Chinese Government, China, People's Republic of (46.19%) PEG China Private Equity Fund L.P., China, People's Republic of (33.26%) Beijing Allied Hongda Trading Co., Limited, China, People's Republic of (14.68%) Beijing Jingguoguan II Equity Investment Management Centre L.P., China, People's Republic of (5.87%) |
| Background | Allied Faxi New Zealand Food Co., Limited acquired the Land for the purpose of establishing an ice cream factory. It has undertaken significant investment to develop the factory and has created numerous new job opportunities. The factory is expected to start exporting ice cream to China by the end of 2016. The prospective investment relates to Beijing Sanyuan Foods Co., Limited acquiring an interest in an upstream shareholder of Allied Faxi New Zealand Food Co., Limited, being Beijing Allied Faxi Food Co., Limited. Beijing Sanyuan Foods Co., Limited and Beijing Allied Faxi Food Co., Limited are associated as the Chinese Government has a significant interest in both entities. Beijing Allied Faxi Food Co., Limited’s indirect interest in the Land comprises a relatively small portion of its total assets. The overseas investment transaction has satisfied the criteria in section 16 of the Overseas Investment Act 2005. The 'benefit to New Zealand' criterion was satisfied by particular reference to the following factors: Overseas Investment Act 2005 Overseas Investment Regulations 2005 |
| More information | Tim Tubman Chapman Tripp PO Box 2206 AUCKLAND 1140 |
| Retrospective penalty | $10,000.00 |