Dairy Holdings’ shareholders takeover SCF shares

Shareholders of Dairy Holdings Ltd, which owns 58 dairy farms in the South Island, have bought shares in the company which were owned by the collapsed South Canterbury Finance (SCF) and others.

Chairman Bill Baylis said earlier that transactions were due to settle on Thursday and that Overseas Investment Office approval would not be needed. Companies Office records on Friday show that SCF has been removed as a shareholder. It previously had a 33.6 percent stake.

Three UK entities, Pals Plus LLC, NZ Cow Company LLC , and Little Cow Company LLC, have also been removed as shareholders and holdings for existing shareholders Colin Armer and Alan Pye have been amended.

SCF receivers had been trying to sell the Dairy Holdings stake jointly with four other shareholders, creating a 62.5 percent controlling stake but there has been speculation that the existing shareholders had preemptive rights and that the company, rather than the receiver controlled the sale process. . .

Most of Dairy Holdings, farms are in North Otago and Canterbury and unlike the Crafar farms are regarded as being well run.

This news contradicts the rumour circulating earlier this week that the Government Superannuation Fund would buy the shares.

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