| Decision | Consent Granted Section 12(1)(a) Overseas Investment Act 2005 Section 13(1)(a) Overseas Investment Act 2005 |
|---|---|
| Decision Maker | Overseas Investment Office |
| Decision Date | 29 April 2022 |
| Pathway(s) | Benefit to New Zealand Significant business assets National interest assessment |
| Investment | Acquisition of 100% of the shares in Two Degrees Group Limited, who indirectly holds leasehold interests in four parcels of sensitive land on Chatham Island, totalling approximately 0.0369 hectares. |
| Asset Value | $1.58 billion |
| Applicant | Voyage Digital (NZ) Limited Australia (51%); South Korea (13%); Canada (9%); Germany (8%); Cayman Islands (5%); United States of America (4%); Philippines (3%); People’s Republic of China (2%); Singapore (2%); Various (3%) |
| Vendor |
Trilogy International New Zealand LLC Tresbit B.V. |
| Background |
The Applicant, Voyage Digital (NZ) Limited is granted consent to acquire 100% of the shares in the Target, Two Degrees Group Limited (the Proposed Transaction). The Applicant is a 50:50 joint venture between Australian superannuation fund, Aware Super, and private equity funds managed by Macquarie Group. The Target operates in the telecommunications industry in New Zealand. The Proposed Transaction will include the acquisition of four leasehold interests in sensitive land (the Land), held indirectly by the Target through its subsidiary, Rural Connectivity Group Limited. The Land is used to hold telecommunication facilities. The Applicant does not intend to change the use of the Land. The Proposed Transaction is likely to result in economic benefits to New Zealand by creating a stronger competitor in New Zealand's telecommunications market. The Applicant is also likely to introduce over $100 million over seven years. This will include investments in the fixed and mobile business support systems and all customer-facing applications, and investments in security programmes. The OIO considers that this investment is likely to result in benefits to New Zealand. The Minister of Finance has determined that this investment is not contrary to New Zealand’s national interest and the OIO is satisfied that the Investor Test is met. |
| More information |
Simon Vannini |