Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Sanford to buy Greenshell assets from receivers

Sanford agrees to buy assets of Greenshell NZ, Greenshell Investments from receivers

May 5 (BusinessDesk) – Sanford, the listed fishing company, agreed to buy the assets of Greenshell NZ Limited and Greenshell Investments from the receivers of the mussel farming and processing group.

No price was disclosed in a statement from Sanford. Chief executive Volker Kuntzsch said the assets “were a strategic fit for Sanford’s aquaculture business as they allow for improved supplies from a wider geography.”

Receivers Brendon Gibson and Grant Graham of KordaMentha were appointed last November by Rabobank after depressed prices for the shellfish over a number of years culminated in a “significant” operating loss in 2012.

Directors of the company had tried unsuccessfully to sell the assets and there were concerns about its ongoing viability and “various complex contractual arrangements,” according to the first receivers’ report. The mussel farms were kept operating pending the sale of assets. Liabilities had outstripped assets by $179,000as at Sept. 30 last year, the report said.

“Sanford will be working with the farmers and existing staff to ensure the growing and harvesting operations continue seamlessly,” Sanford’s Kuntzsch said. He expects the purchase to be completed this week.

The fishing company picked up another mussel business affected by Greenshell New Zealand’s troubles in 2012 when it teamed with Sealord to buy North Island Mussel Processors from receivers McGrathNicol. That business had been a joint venture between Sealord, Sanford and Greenshell New Zealand.

Shares of Sanford rose 0.7 percent to $4.29 and have declined 8.4 percent this year.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Rocket Lab: Launch Expected

Rocket Lab has delayed the roll out of the launch vehicle called Electron by one day, due to weather conditions. The planned launch attempt will now take place on Tuesday, May 23, 2017. More>>

ALSO:

Budget: Irrigate (Good Times, Come On!)

Additional grant funding of $26.7 million over the next three years plus a capital boost of $63 million towards irrigation investments in Budget 2017 will deliver economic and environmental benefits through better use of water... More>>

ALSO:

Silver Fern Farms: Proposal To Close Fairton Sheepmeat Plant

Silver Fern Farms has advised its people of the proposal to permanently close the site, and has discussed potential transfer options to its other sites in the region as part of the consultation process...
More>>

ALSO:

MPI: Myrtle Rust Appears In Taranaki

The nursery in Waitara (just north of New Plymouth) reported suspected myrtle rust symptoms on young plants to the Ministry’s 0800 number yesterday (Tuesday). More>>

ALSO: