| Decision | Consent granted Sections 12(1)(a) and 13(1)(a) of the Overseas Investment Act 2005 |
|---|---|
| Decision Maker | Overseas Investment Office |
| Decision Date | 14 December 2021 |
| Pathway(s) | Benefit to New Zealand and significant business assets |
| Investment | Acquisition of 100% of the issued share capital of ARA Asset Management Limited and the indirect acquisition of approximately 17.1495 hectares of sensitive land at James Fletcher Drive and Savill Drive, Otahuhu, Auckland. |
| Consideration | Approximately $7,400,000,000 |
| Applicant | ESR Cayman Limited Hong Kong (26.04%) United States of America (19.15%) Canada (16.8%) Netherlands (9.00%) Singapore (7.79%) China, People’s Republic of (7.36%) South Korea (6.45%) United Kingdom (3.10%) Various (4.31%) |
| Vendor | ARA Investment (Cayman) Limited, Alexandrite Gem Holdings Limited, Sumitomo Mitsui Banking Corporation, New Horizon Global Limited, Athena Logistics Holding Ltd., and Ivanhoe Cambridge Asia Inc. Cayman Islands (46.64%) British Virgin Islands (38.58%) Japan (8.86%) Canada (5.37% Samoa (0.55%) |
| Background | The Applicant is an integrated logistics real estate platform with an Asia Pacific focus, operating in various countries. The Applicant is acquiring 100% of the issued share capital of ARA Asset Management Limited (the Target). The Target is part of the ARA Group, an international real assets fund manager, managing real estate investment trusts, private real estate equity and credit funds, and infrastructure funds in 28 countries. The Target is the ultimate parent company of LOGOS Property Group Limited, which indirectly holds legal title to, and an approximate 3% beneficial interest in, approximately 17.1495 hectares of sensitive land at James Fletcher Drive and Savill Drive, Otahuhu, Auckland. The OIO has determined that none of the factors in section 18A(4) are established and that the investor test is met. Taking into account the upstream nature of the investment and the nature of the interest in the sensitive land, the OIO has determined that this investment is likely to benefit New Zealand and refusing consent to the investment would likely adversely impact New Zealand’s investment reputation. One of the relevant overseas person in this investment, ARA Logistics Venture I Limited has had previous investment that have provided benefits to New Zealand. This investment is not a transaction of national interest. |
| More information | Tim Tubman Chapman Tripp (Auckland) PO Box 2206 Auckland 1140 |