
NZ players can stymie Bright plan for Silver Fern
There is already considerable foreign investment in New Zealand agribusiness, writes Fran O'Sullivan. Several Chinese companies have meat interests and there is major Japanese investment in Anzco.
There is already considerable foreign investment in New Zealand agribusiness, writes Fran O'Sullivan. Several Chinese companies have meat interests and there is major Japanese investment in Anzco.
The future ownership of New Zealand's biggest meat processor, Silver Fern Farms, is a matter for its farmer shareholders to determine, says Finance Minister Bill English.
China government backed Bright Food is understood to be the party in talks to take a stake in Silver Fern Farms.
Will a Kiwi white knight emerge to fully recapitalise Silver Fern Farms, or will Chinese interests emerge as 50-50 partners with a New Zealand consortium to take the company forward?
Deal would increase dominance of New Zealand's biggest meat exporter but erode farmer control of the industry.
Concentrating on marketing its cuts rather than processing them is paying dividends for a niche meat exporter.
Silver Fern Farms, NZ's biggest meat processor says it is considering raising $100m in fresh capital.
Disgruntled Alliance Group shareholders have gathered sufficient support to force a special meeting to discuss the potential benefits and risks of a merger with fellow co-operative Silver Fern....
Silver Fern has enlisted the services of investment bank Goldman Sachs to advise it on possible equity raising options as it seeks to reduce debt.
New Zealand meat companies abandoned efforts to consolidate and reduce surplus capacity last year because they lacked an agreed export strategy.