The Auckland woman fronting for Chinese investors raising money to buy 29 Crafar family dairy farms, and set up a long-life milk packaging plant in the North Island, has called for a fair go from news media.May Wang, a director of UBNZ Assets Holdings Ltd
The Auckland woman fronting for Chinese investors raising money to buy 29 Crafar family dairy farms, and set up a long-life milk packaging plant in the North Island, has called for a fair go from news media.
May Wang, a director of UBNZ Assets Holdings Ltd – the New Zealand company buying the farms – said she believed some media coverage of her role had been false.
She said her separate Dynasty Group of companies, which collapsed two years ago owing money to about seven banks and finance companies, related to property projects undertaken by her and her then business partner, south Auckland businessman Rob Reece.
He was reported to have offered to put funding or equity from his Legacy Group company into the Dynasty Group, but she said this never happened.
When the credit crunch came, the property market collapsed, and Mr Reece declared himself bankrupt.
Ms Wang said she was actively working on a proposal to repay creditors, and she was confident charges brought by the Companies Office in relation to the Dynasty Group would soon be resolved.
She said she had not "fled" to China when liquidators moved on the Dynasty Group in October 2008, but had travelled between the two countries. She still lived in New Zealand.
"I do not believe my previous business difficulties should be used against a project that will only bring benefits to this country," she said in a statement. "Even if I have failed with my previous business, why couldn't I be successful in business again?"
The investors had the capital to complete the purchase of the remaining Crafar farms and "if we gain Overseas Investment Office approval for that, we will continue capital raising in Asia to fund more acquisitions," she said.
The shortage of good quality milk products in China meant that sector was proving to be a good investment.
The Crafar farms – with about 24 supply contracts to Fonterra – are reportedly valued at over $200 million, and are being sold by receiver Michael Stiassny of KordaMentha, who said last month that the Chinese had made "an attractive offer."
Meanwhile, former owner Allan Crafar said today he was resisting efforts to get him off his home farm at Reporoa.
"Our whole lives' work is going here," he told TVNZ.
He had until tonight to accept an offer of six months accommodation by quitting the farm but told TV3 that if the receivers wanted him out, they would have to carry him out.
A lot of people would help him resist any forcible expulsion, "but there won't be any bloody need for an armed offenders squad."
"I wouldn't be going willingly, put it that way, if you know what I mean," he told TV3.
The corporate vehicle for the Chinese investors, recently renamed Natural Dairy (NZ) Holdings, wanted to buy or build a $30 million long-life milk plant in the North Island.
It also hoped to acquire a $100 million infant milk powder plant in the South Island, and additional farms.
The Hong Kong-listed Natural Dairy owns 20% of UBNZ, and would buy the remaining shares after receiving OIO approval, Ms Wang said.
When Natural Dairy took over the entire company, the two New Zealand directors on UBNZ could go on to the Hong Kong company's board.
She rejected criticisms that foreign ownership of some New Zealand dairy farms would mean a loss of benefits to the country, because the land could not be taken away, and the venture would employ New Zealand farmers and dairy processing experts.
