Tuesday, 01 December 2020 10:55

Farm investment opportunity opens

Written by  Staff Reporters
The New Zealand Rural Land Company is seeking to debut on the NZX by the end of the year. The New Zealand Rural Land Company is seeking to debut on the NZX by the end of the year.

Investors wanting a slice of farming action now have an opportunity to do so with the launch, last week, of the largest New Zealand IPO listing on the NZX Market.

New Zealand Rural Land Company (NZRLC) is seeking to raise between $75 and $150 million and list on the NZX Market on 18 December 2020. 

NZRLC says it will provide investors with exposure to rural land as an asset class without direct exposure to agricultural operations and commodity price volatility.

“The Initial Public Offering (IPO) of New Zealand Rural Land Company offers investors a differentiated investment proposition to what is currently available on the NZX Market and in what is a very low interest rate environment,” says director of NZRLC Chris Swasbrook.

He claims that by separating land ownership from agricultural operations, it increases capital efficiency for tenants and allows investors to own only the rural land.

“We consider that there is long-term value in rural land and that coupling that value with regular and long-term lease payments makes this structure an attractive way to access one of the New Zealand’s largest and most important asset classes.”

Swasbrook says the establishment of New Zealand’s first NZX-listed agricultural property company that owns rural land and leases (long-term) to farmers and food producers allows investors to indirectly access ownership of an easy-to-understand land asset.

“Rural land is the backbone of New Zealand. We see the New Zealand Rural Land Company as providing further support to our world class agricultural sector and offering it additional stability with long-term capital and New Zealand ownership.”

More like this

Tribunal says Fonterra broke rules

THE NEW ZEALAND Market Disciplinary Tribunal says Fonterra breached its rules by not releasing information to the markets as soon as was aware of potential contamination of product during last year's false-alarm food safety scare.

Featured

Merlo goes greener

Obviously not wishing to get left behind by some of its competitors, Italian manufacturer Merlo is planning to add to its green-liveried telehandler range- with another set of green credentials in the shape of an all-new, all-electric battery-powered Merlo e-Worker model.

 

Growing a family legacy

What started with planting some acacia trees 25 years ago has become a multi-generational passion for the Hunt family in Te Awamutu.

Moves to improve winter grazing requirements

DairyNZ says it supports recommendations to the Government from an advisory group looking to improve winter grazing rules for farmers and achieve better environmental outcomes.

National

Machinery & Products

Good growth year for Claas

While many sectors of the agricultural machinery were hit by the ravages of Covid-19, the effects of the pandemic did…

Green machine frugal on fuel

According to the industry respected independent DLG PowerMix test, John Deere appears to be the best choice of tractor for…

App takes pressure off

TRS Tyre & Wheel, owned by Trelleborg Wheel Systems, has introduced the TLC Plus App to the New Zealand market.

New MF 5S series arrives

Just before Christmas, Massey Ferguson quietly released details of the successor to its popular MF 5700S range in the shape…

» The RNG Weather Report

» Latest Print Issues Online

The Hound

Seriously?

Your old mate reckons the nomination of the New Zealand Dairy Industry Awards (NZDIA) management team as a finalists in…

Good riddance!

The Hound reckons 2021 is off to a rollicking start with news that professional whinger and anti-farming drone Martin Taylor…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter