Overseas investment decision for case 201610083 - Constellation Brands New Zealand Limited

An overseas investment in sensitive land, being the acquisition by Constellation Brands New Zealand Limited (“Consent Holder”) of:

• a freehold interest in approximately 9.0275 hectares of land at School House Vineyard, Bendigo Station, RD 3 Wanaka, Central Otago; and
• a freehold interest in approximately 12.2950 hectares of land at York Street, Bendigo, RD3 Wanaka, Central Otago.

(“Investment”)

Bendigo Station Vineyard Limited
GCA Legal Trustee 2007 Limited, I & C Trustees Limited, and John Charles Perriam, New Zealand (50.0%)
John Charles Perriam, New Zealand (50.0%)

Bendigo Station Developments Limited
GCA Legal Trustee 2007 Limited, I & C Trustees Limited, and John Charles Perriam, New Zealand (100.0%)

The Applicant is a large wine producer that supplies a number of well known brands to both the domestic and export markets and intends to acquire the land to increase production of wine for the premium end of the market in particular.

The Applicant proposes to upgrade and develop the land to increase efficiency and productivity, which is expected to result in increased export receipts.

The overseas investment transaction has satisfied the criteria in section 16 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 Act 2005
17(2)(a)(i) – Jobs
17(2)(a)(iii) – Increased export receipts
17(2)(a)(iv) – Greater efficiency and productivity
17(2)(a)(v) – Additional investment for development purposes
17(2)(a)(vi) – Increased processing of primary products

Overseas Investment Regulations 2005
28(e) – Previous investments