NZ Super Fund (NZ Super), a New Zealand sovereign wealth fund, has acquired a 27% stake in fruit and vegetable exporter NZ Gourmet for an undisclosed price.
According to Mark Fennell, acting chief investment officer of NZ Super, the acquisition reflects the fund’s confidence in NZ Gourmet’s long-term prospects, which is backed by growing demand for fresh fruit and vegetables and greater consumer focus on health.
“NZ Gourmet is a Kiwi success story and we look forward to partnering with the company as it continues to expand internationally,” Mr. Fennell says in a statement on June 28.
According to NZ Super’s website, the fund aims to consider opportunities to raise its allocation to New Zealand assets. The fund has invested about NZ$5 billion (US$3.38 billion), or 13% of its investment portfolio, in domestic assets, including local shares and infrastructure projects.
NZ Gourmet Chief Executive Officer Paul Martin, who will retain his position in the company, provides a little more detail about how the deal transpired. He says it was NZ Gourmet that approached the fund as it was keen to partner with a domestic investor with a long-term outlook.
“We will use the new capital to support our continued growth and expansion both domestically and offshore,” Mr. Martin says in the statement.
NZ Gourmet is one of New Zealand’s largest exporters of fresh blueberries and capsicum producers and supplies leading retailers in North America, Asia and Australasia.
NZ Super has approximately NZ$38 billion in total assets under management currently.
