2 February 2011

2 minute read

Oceania

The dairy property is in West Otago – approximately 100km west of Dunedin – and the Guardians are the sole, 100% purchaser.

FarmRight is an independent dairy-farming management and consultancy company with offices in Lumsden, Lincoln and Otorohanga.

FarmRight’s portfolio contains 42 dairy farms covering more than 12,000ha and 34,000 cows.

The Guardians’ General Manager, Investments, Matt Whineray, said that FarmRight had been appointed as a manager under the Rural Land Strategy because of its experience, track record; and its strengths in risk management and in adding investment value through making operational improvements to dairy farms.

“We have appointed FarmRight after an extensive due diligence process, which included assessments of their ability to manage, among other things, profitable pasture-based farming systems, costs, health and safety, animal welfare, environmental compliance, and financial budgeting and reporting to the standard we require,” Mr Whineray said.

The Chief Executive Officer of FarmRight, Jim Lee, said that FarmRight was pleased to be working with the Guardians.

“The Guardians’ long-term investment approach is well suited to dairy farming and to our own long-term investment approach. The Guardians’ first purchase is a quality farm, it was acquired for a good price and we believe there is considerable potential for us to work together to add value.

“For FarmRight it is also particularly pleasing to be assisting a local institutional investor to purchase substantial pieces of New Zealand rural land, the returns from which will ultimately assist in meeting the future cost of New Zealand Superannuation,” Mr Lee said. FarmRight’s mandate will eventually see the Guardians own or part-own a portfolio of New Zealand farms, as part of the globally focused Rural Land Strategy.

Details about the strategy can be found in the 2010 Annual Report and at http://www.nzsuperfund.co.nz/files/NZ_investment_strategies_summary.pdf.

TheCattleSite News Desk