Seeka to sell 9 orchards including 6 recently acquired

Seeka to sell 9 orchards including 6 recently acquired from T&G Global

By Jonathan Underhill

July 10 (BusinessDesk) - Seeka, New Zealand's biggest kiwifruit grower, is putting nine orchards up for sale including six it recently acquired from T&G Global in a deal that targeted T&G's packhouse facilities and assets in Northland.

Seeka said it was calling for bids by Aug. 15 for the 288-hectare portfolio in Northland. The company acquired T&G's Kerikeri-based kiwifruit orchards, packhouse facilities and assets for about $40 million, with the second stage of the transaction settling just two weeks ago.

"It was always Seeka’s intention to market the Northland land holding as it focused on refurbishing the post-harvest facility," chief executive Michael Franks said in a statement. "This is an excellent opportunity for investors to gain a significant stake in prime New Zealand horticultural orchards and land, with a mix of mature orchards in production, orchards in development, across kiwifruit and avocados. The portfolio includes bare land for future development. The offer will come with long-term orchard management and post-harvest services provided by Seeka."

Franks has previously said the company had identified the region as a growth area for both avocados and kiwifruit and establishing a post-harvest hub in Northland had been a priority.

Seeka shares last traded at $6.51 and are up 29 percent over the past 12 months.

(BusinessDesk)

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