Put up or shut up Fay

So refreshing to see the receivers are looking after their clients interests rather than pandering to social manipulation by xenophobic tax exiles.

A syndicate of local iwi and farmers led by expatriate Michael Fay have lodged a NZ$171.5 million bid for the Crafar family farms. Fay’s group, who had previously signalled an interest in buying nine of the farms, tabled its bid with receiver KordaMentha today as a back-up to a rival offer from China’s Shanghai Pengxin Group being turned down by the Overseas Investment Office, it said in a statement.

“I firmly believe we must keep our competitive advantage for exports and that advantage is in what we do with our land,” Fay said. “To me that means we must retain New Zealand ownership of our productive land.

”Shanghai Pengxin made an offer to buy the farms in January, saying it plans to spend more than NZ$200 million – some $30 million more than the Fay consortium offer – to acquire and invest in the land, after the OIO knocked back an earlier bid from Hong Kong investment company Natural Dairy (NZ) Holdings.

Shanghai Pengxin has been waiting for an OIO decision since lodging its application in April. The Pengxin bid is being closely watched by would-be Chinese investors in New Zealand assets.

Korda Mentha said they had received the bid from the Fay-led group, but that it remained well below the bid from Pengxin bid. It said it would consider the bid.

“As we have said previously, we have accepted an offer from Pengxin International Group Limited which is by far the best offer we have received following a comprehensive sales campaign,” said Brendon Gibson from Korda Mentha.

“We continue to await a response form the OIO which we hope to be successful,” he said.

Yep, in other words cough up more cash or shut up.

 


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  • JimmyJ

    I can’t really see what youe problem with the Fay consortium bid is Whale.

    If you don’t like Fay then that is ok, but I can’t see an issue with a backup offer to the existing $200m offer (that has already been accepted).

    What happens if the OIO knocks back the current chinese offer like they did to the original chinese (Wang) offer. At least now there is a viable alternative.

    I do subscribe to the theory that we should be keeping land in NZ hands. Large parcels of land like these should be off limits to foreigners (perhaps Australians excepted because of our close ties with them).

  • JimmyJ

    I can’t really see what your problem with the Fay consortium bid is Whale.

    If you don’t like Fay then that is ok, but I can’t see an issue with a backup offer to the existing $200m offer (that has already been accepted).

    What happens if the OIO knocks back the current chinese offer like they did to the original chinese (Wang) offer. At least now there is a viable alternative.

    I do subscribe to the theory that we should be keeping land in NZ hands. Large parcels of land like these should be off limits to foreigners (perhaps Australians excepted because of our close ties with them).

  • JimmyJ

    weird! got error message (told me to allow Javascript in my browser. I checked and it was already allowed).

    Tried again and got same error message…so gave up. Turns out it was working (hence the double post….delete this post + duplicate post if you wish).

  • Can we expect some pre-election grief if the Fay consortium misses out? A combination of iwi power & some good oldfashioned provincial xenophobia would just suit labour down to the ground.

  • JimmyJ

    I suspect the OIO will be advised to delay the decision until after the election, unless the decision is a ‘NO’ to the chinese bid

  • bruno32

    We all know that Fay is an arsehole who made his massive fortune from manipulating labour party politicians and an innocent public,and then had to go and hide his face for 23 years 13000 km’s away. Perhaps it’s time to forgive, But this low ball offer is just another act from an arsehole. Make an offer higher than the chinese or fuck off back to purgatory you theiving prik.John Keys bait of a listed Fonterra certainly got you slobbering boyo.

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