March 02, 2014
Iwi pool cash for stake in Kaingaroa forest company
Six central North Island iwi have joined forces to buy a 2.5 percent stake in Kaingaroa Timberlands, New Zealand’s largest forestry business.
The company owns and processes the forests on land returned to eight iwi in the 2007 Treelord settlement.
The investment vehicle, Kakano Investment Limited Partnership, includes Ngati Rangitihi, Ngati Whakaue Assets and Te Arawa River Iwi Limited Partnership, Ngati Whare, Raukawa, Te Arawa Group Holdings Limited and Tuwharetoa.
It bought its stake from the New Zealand Superannuation Fund for an undisclosed price in what is described as one of the biggest ever investments involving an iwi collective.
Raukawa chairperson Vanessa Eparaima, who has been appointed chair of Kakano, says it was a major strategic and commercial step forward for iwi to become involved in the forestry business itself as well as being the land owner.
She says the size and maturity of the Kaingaroa Timberlands forestry operation means immediate cash returns will be generated for Kakano from its investment.
Copyright © 2014, UMA Broadcasting Ltd