The Overseas Investment Office released its latest batch of decisions yesterday – all made in June.
The office granted Kinetic NZ Holdings Ltd consent on 4 June to acquire up to 100% of the shares in iwi-owned Go-Bus Holdings Ltd. Consent was required because Go-Bus holds leasehold interests in 2 properties in Silverdale & East Tamaki adjoining reserve land, that are considered sensitive land, and consideration for the shares exceeds $100 million.
The 2 leasehold interests are in 4349m² at 164 Foundry Rd, Silverdale, & 7133m² at 352 East Tamaki Rd, East Tamaki.
Kinetic NZ is ultimately owned by the Ontario Public Service Employees Union Pension Plan Trust Fund (alongside Kinetic Group management). The Kinetic group operates bus & coach services, including the SkyBus services in Auckland, Melbourne, Hobart & the Gold Coast, and other services throughout Australia.
The Kinetic group is investing in Go-Bus with a view to supporting Go-Bus to submit high quality bids for various New Zealand transport contracts when they come up for renewal. Kinetic plans to review the Go-Bus fleet with the aim of introducing more e-buses, supporting New Zealand’s environmental obligations, and invest in depot & other business infrastructure. The acquisition will also diversify Kinetic NZ’s mass transit business and support the expansion of SkyBus beyond Auckland.
Go-Bus Holdings is a joint venture between Ngai Tahu (66.67%) & Tainui (33.33%) iwi. The sensitive land is currently used for Go-Bus’s operations and consists of offices, bus depots & parking spaces. Following the investment, the land will continue to be used for these purposes.
The investment office granted consent on 15 June for Sun Life Financial Inc (76% owned by the Canadian public) to acquire 100% of the partnership interests in UK public company InfraRed Partners LLP for £300 million. InfraRed Partners, through its partly owned subsidiary, has an indirect leasehold interest in about 270ha of sensitive land at the Transmission Gully motorway project site north of Wellington.
InfraRed, through its subsidiaries, owns 40% of the interests in Wellington Gateway Partnership No 2 LP, which is undertaking the Transmission Gully project through its general partner, Wellington Gateway General Partner No 2 Ltd.
The office granted consent on 2 June to Swiss family-owned forestry investor Corisol NZ Ltd to buy 316ha in Otago – at 250 Sutherland Rd, Manuka Creek, Lawrence – from the MJ Nicholl Farm Trust – for $1.775 million. Corisol has undertaken forestry investments in New Zealand since 2011.
The office granted consent on 3 June for NFF QT Development Pty Ltd – as trustee for the NFF QT Development Unit Trust, Augusta Lakeview Holdings Ltd & other applicants – to acquire a leasehold interest in 5487m² & a freehold interest in 2.5457ha in the Lakeview precinct, Queenstown, from the Queenstown Lakes District Council for $75 million.
NFF & Augusta Lakeview intend to develop 3.09ha into a primarily residential mixed-use precinct over several stages between 2023-2040.
Since that Overseas Investment Office decision, Sydney fund manager Centuria Group has acquired 75% of NZX-listed Augusta through a takeover offer.
Industre Property Fund
The office granted internationally owned AP SG 17 Pte Ltd, in partnership with Stride Industrial Property Ltd, consent on 3 June to acquire the $257 million of freehold interests in about 15.9ha at 5 Auckland locations from Stride Industrial’s parent, NZX-listed Stride Property Ltd for the Industre investment fund.
US company JP Morgan Asset Management Inc is advising the joint venture fund.
The Ministers of Finance & Land Information granted consent on 19 June for Mainland Poultry Ltd to buy 233ha at 116-118 & 232 Huirimu Rd, Te Awamutu, from the K & A McKenzie Family Trust’s Narrandera Farms Ltd for $9 million, to develop a free-range egg farm. Mainland Poultry is 29% NZ-owned, with the balance owned by investors in numerous countries.
Attribution: Overseas Investment Office.