Hikurangi owners looking for a buyer

A109 Light Utility Helicopter flight with mayor Gisborne City from the air in November 2023.

Hikurangi Forest Farms owner Samling Group is looking to sell its extensive forestry business in this district.

The Samling Group has engaged investment banking firm Cameron Partners as part of an ongoing review of its ownership of Hikurangi.

Hikurangi Forest Farms (HFF) general manager Ian Brown says the owners have held talks with interested buyer parties over the past few years, so a change of ownership is not guaranteed. However, there is interest from a small number of parties with excellent plantation forestry credentials.

“Based on talks so far, we think any sale would result in a new owner coming in and taking a long-term investment approach to develop Hikurangi for generations to come, which is an exciting prospect.

“We’ve been up front with our people about this, including a number of local companies and contractors we work with. Many of them expected that the owners would at some stage look at a possible sale, so it hasn’t come as a surprise for many.”

Irrespective of the outcome, Hikurangi will continue to meet all its obligations following the June floods.

“With a lot of support from Samling we’re investing millions in a large-scale rehabilitation programme to clear debris that washed down from local forests in the June floods.

“Approximately 50 percent of the affected area has now been rehabilitated, including repairs to drainage and roads. We have also provided assistance to neighbours and downstream farmers to remove slash from their lands.

“We continue to take a leading role, next to representatives of the community, in the clean-up of the Tolaga Bay beach,” Mr Brown said.

The HFF estate consists primarily of intensively managed pinus radiata plantations. The total estate area of HFF is approximately 35,000 hectares of which approximately 27,000 hectares of this is production forest, and 91 percent is freehold.

Samling Group of Companies is a Malaysia-based diversified conglomerate with a business presence around the world. It was established in 1963 and is headquartered in Sarawak.