| Decision | Consent granted Section 12(a) Overseas Investment Act 2005 |
|---|---|
| Decision Maker | Overseas Investment Office |
| Decision Date | 10 March 2021 |
| Pathway(s) | Benefit to New Zealand (Benefit to New Zealand) National Interest assessment section 20A |
| Investment | A 3% freehold interest in 17.1495 hectares of land at James Fletcher Drive and Savill Drive, Otahuhu, Auckland |
| Consideration | $1 |
| Applicant | Alexandrite Athena GroupCo Ltd Withheld under s9(2)(b)(ii) of the Official Information Act 1982 |
| Vendor | Warburg Pincus Private Equity XII, L.P., Warburg Pincus Private Equity XIIB, L.P., Warburg Pincus Private Equity XII-D, L.P., Warburg Pincus Private Equity XII-E, L.P., WP XII Partners, L.P., Warburg Pincus XII Partners, L.P., Warburg Pincus China, L.P. and Warburg Pincus China Partners, L.P. Withheld under s9(2)(b)(ii) of the Official Information Act 1982 |
| Background | The Warburg Pincus Group (the Group), manages a number of United States based investment funds. The funds are widely held. The Group is adding another two tiers of holding companies (including the Applicant) into the middle tiers of its structure. There will be no change of control and only minor changes in beneficial ownership of shares due to the transaction. The Group’s link to New Zealand is remote. One of the subsidiary companies downstream of the transaction owns a 3% freehold interest in 17.1495 hectares of industrial land at James Fletcher Drive, Auckland. The land is sensitive due to proximity to the Manukau harbour. The OIO determined that the individuals with control over the Applicant had business acumen relevant to the investment, had demonstrated financial commitment to the investment, and were of good character. The OIO determined that the transaction was of benefit to New Zealand and noted that refusing consent to the transaction would likely adversely impact New Zealand’s investment reputation. This transaction is captured by section 20A of the Overseas Investment Act because state-associated pension funds from Hong Kong and the United States have minor ownership stakes in funds managed by the Group. The Minister of Finance has determined that this transaction is not contrary to New Zealand’s national interest. |
| More information | Tim Tubman Chapman Tripp PO Box 2206 AUCKLAND 1140 |