Foreign investment in Aotearoa/New Zealand

Overseas Investment Office – June 2015 Decisions

Aussies Buy CallPlus

Another busy month at the OIO with the most significant decision by value being Tripod Limited, Australian Public (57.6%), Other Investors, Various (29.8%), North American Public (5.6%), United Kingdom Public (2.2%), Asian Public (1.9%), European Public (1.7%) and New Zealand Public (1.1%), receiving approval for the acquisition of rights or interests in 100% of the shares of the CallPlus Group, the consideration for which exceeds $100m, and the gross value of the assets of the CallPlus Group exceeds $100m.

The vendor was CallPlus Group New Zealand (100%); the asset value was $250,000,000. The OIO states: “The Applicant has entered into agreements to acquire all of the shares in companies which, together with their respective subsidiaries, comprise the CallPlus group. The Applicant intends to continue to operate the CallPlus Group’s Internet service provider business as a standalone operation”.

Yellow Pages Restructures Debt Again

Yellow Holdings Limited, United States of America (61.1%), Cayman Islands (19.1%), Hong Kong (SAR) (6.8%), Australia (5.6%), China, People’s Republic of (5%) and other (2.4%) received approval for the acquisition of rights or interests in:

100% of the shares of NZ Directories IP Limited; and
100% of the shares of Yellow Pages Group Limited, the consideration of which exceeds $100m. The vendor was NZ Directories Finance Limited, United States of America (60.58%), Cayman Islands (19.1%), Hong Kong (SAR) (6.1%), Australia (5.6%), China, People’s Republic of (5%) and other (3.7%); asset value was $117,826,000.

The OIO states: “The Investment relates to the Yellow Pages group debt restructure which will convert ownership of debt to debt and equity. The Applicant is a special purpose company incorporated for the purpose of the restructure and owned by the creditors of the Yellow Pages group. As part of the restructure the Applicant will acquire the Investment being the shares in Yellow Pages Group Limited and NZ Directories IP Limited. Changes to the beneficial ownership of Yellow Pages Group Limited and NZ Directories IP Limited as a result of the Investment will be minor”. In 2007 Yellow Pages was sold to Hong Kong-based Unitas Capital and Canada’s Ontario Teachers’ Pension plan for $2.24 billion, the largest leveraged buy-out in New Zealand. But, by December 2010, the directories business recorded a $1.44 billion loss for the June 30 year, one of the biggest corporate losses in New Zealand history.

A New Coffee Transnational

Mondelēz International Inc, United States Public (99.9%) and various overseas persons (0.1%), received approval for the acquisition of rights or interests in up to 49% of the securities of Charger Top HoldCo BV, where the value of the New Zealand assets of Charger Top Holdco BV and its 25% or more subsidiaries is greater than $100m. The vendor was Acorn Holdings BV, JAB Holding Company s.a.r.l Netherlands (72.4%), and various overseas persons (27.6%); consideration was $126,000,000.

The OIO states: “The Applicant is a global snack company which manufactures and markets food and beverage products for consumers in approximately 165 countries around the world. Its product offering spans biscuits, chocolate, candy, cheese, powdered beverages, chewing gum and coffee. The Applicant and the vendor intend to combine their respective coffee businesses, by establishing a joint venture company (Charger Top HoldCo BV), which will ultimately hold the combined coffee businesses”.

Once again, this is part of a much larger global deal, reported nearly a year earlier at Food Business News: “Mondelēz International Inc. and DE Master Blenders 1753 BV have announced plans to combine their coffee businesses into a new company to be named Jacobs Douwe Egberts (JDE) that will be based in The Netherlands. According to the companies, JDE will have annual sales of more than $US7 billion with an earnings before interest, tax, depreciation and amortisation (EBITDA) margin in the high teens. Together, the combined business of Mondelēz and DE Master holds a leading market position in more than two dozen countries and has a strong position in emerging markets. The brand portfolio of JDE will include Jacobs, Carte Noire, Gevalia, Kenco, Tassimo and Millicanao from Mondelēz and Douwe Egberts, L’OR, Pilao and Senseo from DE Master Blenders.

“In 2013 the Mondelēz coffee business generated sales of $US3.9 billion and DE Masters had $US3.4 billion in sales. Mondelēz was the second largest coffee company globally and DE Master ranked third. Nestle is the world’s largest coffee company. Pierre Laubies, Chief Executive Officer (CEO) of DE Master Blenders 1753, will lead the combined business. ‘Jacobs Douwe Egberts will leverage the rich histories of both companies, combining our complementary geographic footprints, portfolios of iconic brands and innovative technologies to offer more people around the world more access to high quality coffee and allowing the company to capitalise on the significant growth opportunities in a highly attractive market,’ he said.

“Under terms of the transaction, the coffee portfolio of Mondelēz outside of France will be combined with the DE Master 1753 business. Acorn Holdings BV, the private equity owner of DE Master, will acquire the Mondelēz business in France. Mondelēz currently has joint venture partners who have been invited to participate in the new company. The transactions are subject to regulatory approvals and the completion of employee information and consultation requirements, the companies said.

“Under terms of the transaction, Mondelēz will receive payment of $US5 billion for its coffee business and will hold a 49% equity interest in the new company. ‘We’re delighted with this transaction and the substantial value we expect to create for our shareholders’, said Irene Rosenfeld, Chairman and CEO of Mondelēz International. ‘By retaining a significant stake in the combined company, we’ll continue to benefit from the future growth of the coffee category and share in the synergies and tremendous upside of this leading, one-of-a-kind coffee company’.

“Acorn will hold a majority share in the proposed combined company and will have a majority of the seats on the board. Bart Becht, who currently is Chairman of the DE Master board, will be Chairman of JDE. Acorn is owned by an investor group led by JAB Holding Company s.a.r.l. The group, led by Joh A Benckiser GmbH, in 2013 paid $US10 billion to acquire the DE Master Blenders business that, in 2012, had been spun off by Sara Lee Corp. JAB also had acquired U.S.-based Peet’s Coffee for about $US1 billion and Caribou Coffee for $US340 million”.

Porsche Family Share Shuffle

Ferdinand Porsche Familien-Privatstiftung, Ferdinand Alexander Porsche GmbH and Ferdinand Porsche Familien Holding GmbH, Austria (100%), received approval for an overseas investment in significant business assets, being the giving of effect to a series of steps required to restructure the upstream ownership of approximately 51% of Porsche Automobil Holding SE, which ultimately owns 50% of LeasePlan New Zealand Limited, the total value of the assets of LeasePlan New Zealand Limited being greater than $100m.

The vendors were entities associated with the Porsche, Piech and Kiesling families, Austria (100%); asset value was stated at $253,870,000. The OIO states: “The purpose of the Investment is to consolidate the shareholding of certain family shareholders of Porsche Automobil Holding SE. It is part of a plan to reorganise the direct and indirect Porsche Automobil Holding SE shareholdings of various Porsche and Kiesling family members”.

Kawakawa Station Sold

Kawakawa Station Limited, Eric Chun Yu Wong, United Kingdom (58.5%) and Yu Keung Mok, Singapore (41.5%), received approval for the acquisition of:

a freehold interest in approximately 1,379.7 hectares of land at Kawakawa Station, Cape Palliser Road, Wairarapa; and
a leasehold interest in approximately 785.6 hectares of land at Cape Palliser Road, Wairarapa.

The vendor was Furniss (Alexander George) (as to a 1/4 share); Furniss (Duncan Alexander) (as to a 1/2 share); and Furniss (Alexander George), Warwick (Melanie Joan), Furniss (Duncan Alexander) and Furniss (Janine Nan) (as to a 1/4 share), New Zealand (100%), and Phelps (Dianne Rose), Webb (Ngaere), Workman (Robert Kinsela), Hemi (Te Ariki Douglas) and Sargent (Wendy May), as trustees of the Kawakawa 1 D2 Trust, New Zealand (100%). Consideration was “withheld under section 9(2)(b)(ii) of the Official Information Act”.

The OIO states: “The Applicant is acquiring Kawakawa Station, a sheep and beef farm near Featherston. The Applicant will invest in additional fertiliser, weed control and fencing on the land, and will increase expenditure on animal health which will result in increased productivity from the farm”. The Furnisses have over the years run a successful “wild walks” and glamping (glamorous camping) business on the Station, where paying customers are able to enjoy a spectacular chunk of varied coastal terrain, mixed with hills, bush, flats, and open country. One wonders whether the new owners will allow this experience to continue?

Swiss To Convert Mayfield Farm To Dairy

Dynamic Asset Management Company (Luxembourg) SA, as manager of the DMC Fund FCP SIF (Luxembourg), Rentes Genevoises, Switzerland (99.6%) and Swiss Public (0.4%) received approval for the acquisition of a freehold interest in approximately 355 hectares of land located at 2247 Tinwald Westerfield Mayfield Road, Mayfield, Ashburton (Mayfield Farm). The vendor was The Mounds Limited, New Zealand (100%). Consideration was $10,850,162.

The OIO states: “The Applicant intends to convert the property into a dairy farm with the specific objective of producing high volumes of milk from pasture. Once converted, Mayfield Farm will milk approximately 1,200 cows through a 64-bale rotary cowshed with full automation, including the latest in infrastructure and technology to enable an efficient and productive farm management system which also meets sustainability requirements”. See our March and October 2014 commentaries for details of this Luxembourg investor’s purchase of Southland dairy farms.

Americans Expand Their Glenorchy Wyuna Station

Cabo Limited, as trustee for the Cabo Trust, United States of America (100%), received approval for the acquisition of a freehold interest in approximately 139.4 hectares of land at 325 Glenorchy-Routeburn Road, Glenorchy (“Priory Farm”).The vendor was Priory Pastoral Farm Limited, New Zealand (100%); consideration was $1,100,000. The OIO states: “The Applicant is acquiring Priory Farm for the purpose of integrating it into its Wyuna Station farming operation. The acquisition will provide access to an area with good rainfall and grass growing enabling Wyuna Station to expand its stocking and “finish” its livestock to marketable export weights”.

Wyuna Station Joint Venture acquired Wyuna Station in 1999. That purchase was primarily a leasehold arrangement and is covered in our commentary of March 2000. The acquisition did not need Overseas Investment Commission consent because the US interest was at that stage just 0.1% below the 25% threshold requiring approval. However the US partner did not apply for approval for a mortgage it held over the property, and therefore in March 2005, at the same time as receiving consent to freehold 2,695 hectares, it received a retrospective approval for the “interest in land” (mortgage) which it held without the required legal approval for those six years. See our March 2005 commentary for details, as well as those for August 2010 and November 2011 for further details on this.

Americans To Establish Glenorchy Marketplace

In another “Glenorchy” decision, Paul and Deborah Brainerd/Pounamu Holdings 2014 Limited, United Stated of America (100%), received approval for the acquisition of a direct or indirect freehold interest in approximately 1.6 hectares of land at 62 and 64 Oban Street, Glenorchy. The vendor was Humbolt Holdings Limited, New Zealand (100%); consideration was “withheld under section 9(2)(b)(ii) of the Official Information Act”. The OIO states: “Mr and Mrs Brainerd are the shareholders of Pounamu Holdings 2014 Limited and founders of the Glenorchy Marketplace Foundation. The Applicants propose to develop the Glenorchy Marketplace, including a campground, General Store, café, cottage accommodation, community classroom and artist studio. Net profits from the Glenorchy Marketplace are intended to be returned to the Glenorchy community through a charitable trust”.

Sounds admirable, but how do the locals feel about it? David Williams at Mountain Scene reports (5/5/15): “Glenorchy’s dirty laundry will be aired in Queenstown today. This morning, commissioners will start hearing a consent application for a high-spec new campground, backed by millionaire philanthropists Paul and Debbi Brainerd – an American couple who own a holiday home at the nearby exclusive Wyuna subdivision. The whiz-bang proposal, by Pounamu Holdings, promises to deliver New Zealand greenest campground, featuring solar panels and composting toilets, with the complex’s profits eventually ploughed into a community trust.

“But all’s not well at the head of the lake. The company states it has carried out a ‘long and involved’ consultation. Yet the hearing – publicly notified at their request – has attracted 49 submissions. By comparison, there were 55 submissions on the Council’s controversial plan change 50 – which proposes to extend Queenstown’s town centre zone and enable a convention centre to be built on the Lakeview site. Queenstown has roughly 13,000 residents – Glenorchy has 360.

“Earlier this year (2015), Glenorchy Community Association Secretary, John Glover, quit over the way a land swap between Pounamu and the Council was handled. Opponents accuse the company of aggressive planning, ignoring community wishes and hard-headedness. The Community Association’s submission says there’s strong community support for the proposal. The submission was based on a vote taken at the group’s March meeting – which wasn’t on the meeting’s agenda and only asked if people were in favour of Pounamu’s proposed building heights.

The submission’s writer, Acting Secretary, Alan Temple, says he hasn’t read the application: ‘Not in its entirety, for some time’. He confirms there was a community ‘call to arms’ before the March meeting. ‘We’ve tried to stay out of it’, Temple claims, adding: ‘My submission expressed the majority of the community’s feelings and opinions, without getting too supportive or negative about it’. That doesn’t gel with the submission, however – which ticks the ‘support’ box and notes ‘strong community backing’ for the proposal.

“Opponents are riled that Pounamu plans to breach height restrictions and street setbacks – rules decided by the community over several years, and enshrined in the Queenstown Council’s planning documents. They’re also upset at the behaviour of the Community Association. But is the ‘vocal minority’ looking a gift horse in the mouth? The Brainerds have helped the local school, revitalised the local store and plan to hand over profits from their new venture to the community.

“‘That’s part of it’, former Association Secretary Glover says. ‘But there’s also being a good neighbour and respecting some of the community processes is part of it as well. Do we as a community say that for the right amount of money we’ll abandon everything we’ve decided is important in the past? If the answer’s yes, let’s be open about it’. The proposed development has drawn an objection from the Otago Regional Council, concerned about the seismic and natural hazard risks at the head of Lake Wakatipu.”

Despite the concerns, the development was approved, but does mean its going ahead? Not if one local has her way. As reported by David Williams in the Otago Daily Times (24/9/15): “Glenorchy’s controversial camping ground redevelopment is heading to the Environment Court – thanks to one staunch opponent. American philanthropists Paul and Debbi Brainerd, who own a luxury home near the town, at Wyuna Preserve, have hatched a multimillion dollar plan to overhaul a three ha site in Glenorchy, creating what is being billed as New Zealand’s greenest campground.

“The campground would cater for up to 140 guests in cabins, tenting and camper van sites. Council commissioners approved the development, but Niki Gladding has appealed. The full time mother, who lives at Campbelltown just outside Glenorchy, appealed on several points, but has now dropped that to one – boundary setbacks from a “beautification strip”. Ms Gladding said she was not anti development. “If they turned around and said the community wanted that, this is actually public land, and we’ll move our buildings back five metres, and we’ll give the community back control of the plantings and the landscaping of Oban St, then that’s fine’.

“Mr Brainerd said while his company, Pounamu Holdings, respected the appeal process, it was disappointed the actions of one individual would delay construction. Most Glenorchy people supported the project, he said. ‘It is disappointing to have to respond again to issues that have already been carefully considered and resolved to mutual satisfaction by Queenstown’s Council, its independent hearing commissioners and ourselves’. Ms Gladding had a procedural win ahead of next month’s hearing – Environment Court Judge Jon Jackson agreed a policy about the scale of non-residential developments should apply to visitor accommodation projects. But Judge Jackson called it a “pyrrhic victory”, as it might not make any difference. The Brainerds’ purchase of a block next to conservation land was retrospectively approved by the Overseas Investment Office in June (2015). The couple blamed incorrect legal advice for not getting the Office’s approval in the first place”.

Chinese Pig Farm For Gladstone

New Zealand Free Range Limited, Tin Yee Tinny Ho, Hong Kong (SAR) (50%), and Kien Han John Chua, Hong Kong (SAR) (50%), received approval for the acquisition of a freehold interest in approximately 18 hectares of land at Admiral Road, Gladstone. The vendors were Ralph Richard Fauvel, Vivienne Joy Fauvel and Gawith Trustees 2011 Limited as trustees for the Farm Boy Trust, New Zealand (100%); consideration was “withheld under section 9(2)(b)(ii) of the Official Information Act”. The OIO simply states: “The applicant intends to convert the land to a free-range pig farm”.

Chinese-Owned Pengxin Gets More Land At Mortgagee Sale

Pengxin New Zealand Farm Group Limited, Zhaobai Jiang, China, People’s Republic of (99%) and Lei Jiang, China, People’s Republic of (1%), received approval for the acquisition of a freehold interest in a 1/5th undivided share in approximately 68.4ha at Collins Road, Hamilton. The vendor was Westpac New Zealand Limited Westpac Banking Corporation, Australia (100.0%); the price $420,000. The OIO states: “The Applicant previously acquired an undivided 4/5th interest in the land. The remaining 1/5th interest was not available at that time; however, it is now being sold through a mortgagee sale. The Applicant intends to undertake additional investment and upgrades to the land”.

This Chinese investor seems to have an eye for snapping up bargains at mortgagee sales of sensitive land under the blind eye of the OIO. Readers will remember that they bought the financially strapped Crafar farms in April 2012 and soon after bought the Gulf Harbour Development at mortgagee sale with previous investors wearing a $100m plus loss – see our August 2012 commentary. In January 2014 they received approval for the purchase of another large swath of dairy farms, this time nearly 4,000 hectares belonging to Synlait in Mid-Canterbury.

Their success, however, in buying large tracts of cheap farmland was about to be tested when they applied to buy Lochinver Station, which we will report on later. In the meantime, Pengxin has put all their farms on the market in the ultimate Claytons sale. As reported by Gerard Hutching on 21/7/15 in stuff.co.nz: “Chinese company Shanghai Pengxin’s total farm assets in New Zealand are up for sale, including 16 farms and a conditional agreement to buy Lochinver Station – but they are unlikely to be sold. Because the company wants to restructure, the Overseas Investment Office (OIO) requires it to offer its assets for sale to New Zealanders.

“The 16 dairy farms totalling 7,885 hectares are the former Crafar family farms, bought controversially for $200 million in 2012. They were listed for sale on Trade Me on Sunday on a ‘price by negotiation’ basis and by Tuesday had been viewed 657 times. A spokeswoman for Shanghai Pengxin said the Broadlands, Waikato farms had been put on sale because Chinese billionaire Jiang Zhaobai, who owns 99% of Shanghai Pengxin, wanted to transfer its assets to Chinese agricultural company, Hunan Dakang. Jiang Zhaobai owns 55% of Hunan Dakang.

“As a result of any such change, the Overseas Investment Office requires an owner to offer for sale all its assets to ‘a non-overseas person’- that is, a New Zealander. The advertisement, under the simple heading ‘Farms’ says: “The Shanghai Pengxin Group Co Limited (SPGL) intends to restructure the ownership of some of its New Zealand farm assets. To enable such restructure, the Overseas Investment Act 2005 requires SPGL firstly to advertise the assets for sale to a non-overseas person’.

These assets include not only the former Crafar farms, but also a conditional agreement to buy Lochinver Station in the central North Island. However, a rider to the advert says ‘prospective purchasers should note that SPGL reserves its rights to transact, or not transact, on such terms as it sees fit (and that is not obliged to accept any particular proposal). In assessing any proposal SPGL will take account of benefits expected to accrue under its internal restructure proposal’. In other words, this may well be the ultimate Claytons dairy farm sale – the sale you have when you don’t have a sale.

The Shanghai Pengxin spokeswoman confirmed that there was no intention on the part of the company to sell the farms but it was going through the procedure because it had to follow the law. The farms have to be advertised for sale for 20 days. Waikato University Professor Dr Jacqueline Rowarth said the way that Shanghai Pengxin was going about the process was ‘bizarre. Why go through with this restructure when the company is in the middle of trying to get approval to buy Lochinver Station? It could be that they are trying to buy time and have been affected by the downturn in the Chinese stock market as well as low dairy prices’, Rowarth said. A spokesman for Landcorp, which manages the Shanghai Pengxin properties, said it was ‘business as usual’ and there would be no change to existing arrangements”.

Craigmore To Expand Wairepo Dairy Farm

Craigmore Farming NZ Limited Partnership, United Kingdom Public (32%), Continental European Public (28%), various overseas persons (35%) and New Zealand Public (5%) received approval for the acquisition of a freehold interest in approximately 83 hectares of land at New Park Road, Eiffelton, South Canterbury. The vendor was AJC Farming Co Limited, New Zealand (100%); consideration was “withheld under section 9(2)(b)(ii) of the Official Information Act”. The OIO states: “The Applicant intends to extensively develop the land (currently used for cropping) for incorporation into its adjoining Wairepo dairy farm operation”. See our previous commentaries in June 2012, February 2013, March 2013, November 2013, and almost every month in 2014 for background on Craigmore Farming and its other land purchases here.

Redwood Forest For Retaruke

Blue Duck Redwoods Company, Lee Maurice Holmes, Guam (99.1%), Ann Silliman Holmes, Guam (0.3%), Bryan Lee Holmes, Guam (0.3%) and Mark Snyder Holmes, Guam (0.3%), received approval for the acquisition of a freehold interest in approximately 304.9 hectares of land at 245 Upper Retaruke Road, Retaruke (“Land“). The vendor was Gregory Shaw, Siwan Haf Shaw and Bailey Ingham Trustees Limited, New Zealand (100%): consideration was “withheld under section 9(2)(b)(ii) of the Official Information Act”. The OIO states: “The Applicant intends to acquire the Land and establish a Redwood forest on the Land. The Applicant also intends to assist with the indigenous vegetation/fauna on the Land (the Retaruke River runs adjacent to the Land)”.

Canadians Buy Lime Quarries From Holcim

Graymont Limited, Canada (100%), received approval for the acquisition of rights or interests in 100% of the shares of McDonald’s Lime Limited which owns or controls:

a freehold interest in approximately 240ha of land at Oparure Road, Te Kuiti (Oparure Quarry); and
a freehold interest in approximately 117ha of land at Rangitoto Road, Te Kuiti (Te Kuiti Plant): and
a freehold interest in approximately 172ha of land at Dunback (Taylor’s Lime)

Approval was also received for an overseas investment in significant business assets, being the acquisition of property in NZ used in carrying on business in New Zealand for consideration exceeding $100m, that property being the acquisition of 100% of the shares in McDonald’s Lime and the business assets of Taylor’s Lime. The vendor was Holcim (New Zealand) Limited and New Zealand Steel Limited, Swiss Public (34%), Australian Public (28%), United States Public (22%) and various overseas persons (16%): consideration was “withheld under section 9(2)(b)(ii) of the Official Information Act”.

The OIO states: “The Applicant intends to continue the existing lime business operations carried out on the relevant land, applying the know-how that it has developed over the last 60 years to strengthen and grow the businesses”. Suze Metherell reports briefly on this deal in the NBR (15/12/14). “Graymont, the Canadian lime business, has agreed to buy McDonalds Lime from Holcim New Zealand, which plans to close its Westport cement plant in 2016, and Bluescope Steel-owned New Zealand Steel for an undisclosed sum. The local operations of the international cement company will also sell its Taylor’s Lime assets to Graymont, the companies said in a joint statement. McDonalds Lime is 72% owned by Holcim NZ, with the remainder owned by NZ Steel, and has the country’s largest lime quarry at Oparure, north of Te Kuiti.

“Graymont is North America’s second largest supplier of lime and lime-based products, and has an investment in Grupo Calidra, Mexico’s largest lime producer, it said. This is the Canadian company’s first investment in the New Zealand market. Holcim has been trying to sell the lime business, which it no longer considers a core business, as it plans for imported cement to replace local production at Westport. It wrote down the value of its Westport cement plant ahead of the coming closure, booking $31 million of charges for the plant, comprising a $23 million impairment and $8 million project cost writedown, the accounts for the New Zealand holding company, Fernhoff Ltd, for the year to Dec. 31, 2013 filed to the Companies Office in July (2014) show.

“The plant will close by the second half of 2016 when new import facilities at Waitemata in Auckland and Timaru costing $100 million are fully operational. Plans for a new cement manufacturing plant at Weston in North Otago remain on hold but the company is keeping the assets so it has the option of ‘eventually building a new cement plant’. The McDonald’s sale is subject to regulatory approvals and should be completed in 2015, Holcim and Graymont said”.

Other June Decisions

Kahukura Limited, Monaco (100%), received approval for the acquisition of a freehold interest in approximately 20 hectares of land at Lot 10 Mataka Station, Rangihoua Road, Kerikeri (“Land“). The vendor was Bernard Jean Sabrier, Switzerland (100%); consideration was $2,300,000. The OIO states: “The Applicant intends to enhance the indigenous vegetation located on the Land and make a series of donations to the Bay of Islands International Academy, being a school located near the Land”.

J Michell (Antony Peter) and Michell (Corinne Alaina), United Kingdom (100%), received approval for the acquisition of a freehold interest in all that land at 42 Whakamoenga Point contained in Unique Identifier SA46D/240, being firstly a fee simple estate of 1,055 sqm more or less described as Lot 42 DP SA56566, and secondly a 1/47th share in the fee simple estate of 13 hectares more or less described as Lot 57 DP SA56566, located at Whakamoenga Point, Acacia Bay, Taupo. The vendor was The Point Taupo Limited (Christopher John and Karen Lynne Merwood), New Zealand (100%); consideration was $1,550,000.

The OIO states: “The Applicants are acquiring a property at a residential subdivision at Whakamoenga Point in Taupo (the “Point”). The Applicants intend to let out the house on the property as a high end holiday destination until they eventually retire and use it as a residence. In addition, the Applicants will make regular contributions to a local community group, fund environmental initiatives at the Point and invest into the construction of new residential accommodation in the Auckland area”.

Cloudy Bay Vineyards Limited, Louis Vuitton Moet Hennessy SA, France (66%) and Diageo Plc, United Kingdom (34%), received approval for the acquisition of a freehold interest in approximately 11.8 hectares of land at Bedford Road, Marlborough. The vendor was Cross (Dene Andrew), Cross (Sarah Tiffany) and Ellwood (Dean Alan) (Trustees of the Cross Trust), New Zealand (100%); consideration was “withheld under section 9(2)(b)(ii) of the Official Information Act”.

The OIO states: “The Applicant is an owner and operator of vineyards in the Marlborough region. The Applicant is acquiring the land to secure a further supply of grapes, in order to increase its production and sales of premium-quality sauvignon blanc from the Marlborough region”. See our previous commentaries for July 2002, July 2004, April 2007, March 2008, April 2014 and December 2014 for details of other vineyard purchases by Cloudy Bay.

Marten (Harold) and Marten (Helen Kay), Australia (100%), received approval for the acquisition of a freehold interest in approximately 8.3 hectares of land at 153 Ashburton Gorge Road, Mt Somers. The vendor was Ross Garry Edgar, Judith Karen Edgar and Whitehouse Two Trustees Limited as trustees of the RG & JK Edgar Trust, New Zealand (100%); consideration was $1,070,000. The OIO states: “Harold and Helen Marten intend to immigrate to New Zealand and reside in New Zealand indefinitely. The Martens intend to acquire the property to use as their home and to operate a small farm business grazing livestock on the land”.

Rems (Michael John) and O’Shea (Julie Anne), United States of America (100%), received approval for the acquisition of:

a freehold interest in approximately 0.6 hectares of land at 33-37 & 39 Okoka Road, Waiheke Island; and
a leasehold interest in approximately 0.02 hectares of land at 1 O’Brien Road, Waiheke Island.

The vendor was Glass Residential Limited, New Zealand (100%), Brett David Clarke Cooper, Amanda Leanne Cooper and Bruce Reginald Patterson as trustees of the Glass Trust New Zealand (100%); consideration was $3,672,000. The OIO states: “The applicants intend to immigrate to New Zealand and reside in New Zealand indefinitely. They intend to acquire the property to use as their home”.

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