Milltrust International and its affiliate Milltrust Agricultural Investments (MAI) are pleased to announce today the acquisition of a 24.9% equity holding in Waitonui Milltrust Agricultural Holdings, a newly established entity owned in conjunction with a consortium of New Zealand investors. This announcement consolidates a number of investments made over the last six months culminating with the establishment of a significant large-scale NZ integrated dairy and beef farming enterprise. Waitonui Milltrust has received the support of the UK local authority pension fund assets managed by Milltrust and MAI.
WMAH has total assets over $125 million, and today it owns and manages a portfolio of farms and associated farming assets covering an aggregate of 3,500 hectares, milking 10,000 cows and producing over 4 million kilograms of milk solids annually. It is one of the largest suppliers of Fonterra, New Zealand’s leading dairy processor.
The farms are located in both the North Island and South Island and benefit from high rainfall and the provision of pivot irrigation to ensure production consistency across the season. Further investments by WMAH are expected over the coming months.
Griff Williams, CIO of Milltrust Agricultural Investments said, “We are delighted to have established this new farming venture together with a group of like-minded and high-calibre New Zealand farmers. The scale and asset quality of the farming portfolio combined with a proven and high-performing management and operations team will result in continued production efficiencies and herd improvements. WMAH is focused on ensuring best practice in the area of environmental sustainability and animal welfare, both of which are pre-requisites for any MAI investment”.
Dennis Parsons, WMAH Chairman said, “The Board of WMAH is delighted to have MAI’s investment and active involvement in our progressive group. MAI bring international experience and best practice to WMAH’s corporate governance, on farm performance and monitoring procedures, which are a feature of the group’s operations”
The Fund will receive an annual minimum 5.5% yield on the investment with the potential to earn additional yield as well as capital gains over time. The investment thesis for efficient, well located, pasture based dairy farms in New Zealand remains strong and MAI is looking forward to continuing to build on its’ success in this segment.
About MAI Buy & Lease (New Zealand)
The MAI – Buy & Lease (New Zealand) Fund, established in 2016, is designed for investors seeking a reliable and steady income, through a carefully constructed diversified portfolio of cashflow-positive farms in New Zealand. The strategy provides the investor with exposure to capital appreciation and a fixed return without the operational risk of running the farms.
Milltrust International LLP
6 Stratton Street
London W1J 8LD
T: +44(0)20 8123 8316
Griff Williams, CIO
Milltrust Agricultural Investments 6 Stratton Street
London W1J 8LD
T: +44 (0)20 8123 8316
Simon Hopkins, CEO
Milltrust International Group
39 Tras Street