| Decision | Consent granted Section 12(a) Overseas Investment Act 2005 |
|---|---|
| Decision Maker | Overseas Investment Office |
| Decision Date | 8 June 2021 |
| Pathway(s) | Benefit to New Zealand |
| Investment | Up to 100% of the shares in Eaton Industries Company (company number 284932) which owns a fee simple interest in 0.8562 hectares of sensitive land at 77 Ben Lomond Crescent Pakuranga Heights Auckland. |
| Consideration | $5,100,000 |
| Applicant | Danfoss Power Solutions II Limited Denmark (88.96%) United States (11.04%) |
| Vendor | Eaton Industries Company United States (81.86%) United Kingdom (4.97%) Norway (2.49%) Japan (2.14%) Canada (1.94%) Switzerland (1.33%) Germany (1.03%) Various (4.24%) |
| Background | The Applicant is a wholly owned subsidiary of Danfoss A/S. Danfoss heads a global group of engineering companies. The vendor’s parent company, Eaton Corporation plc, is a global manufacturer of hydraulics components. Danfoss is acquiring Eaton’s global hydraulics business. The Eaton hydraulics business will be combined with Danfoss’ existing hydraulics business, Danfoss Power Solutions. Well downstream of the investment, the Applicant will acquire a freehold interest in land in Auckland, which is owned by a NZ subsidiary of Eaton. The use of the Land will not change due to the Investment. Refusing consent to this transaction would adversely impact New Zealand’s investment reputation. In addition, the Applicant has offered the portions of the Pakuranga Creek running through the land for sale to the Crown. |
| More information | Bradley Kidd Chapman Tripp Wellington |