Is Silver Fern Selling Ashburton's Fairton to Lowe Corp?
new-zealand-first-party
Wed Aug 10 2016 12:00:00 GMT+1200 (New Zealand Standard Time)
Is Silver Fern Selling Ashburton's Fairton to Lowe Corp?
Wednesday, 10 August 2016, 1:37 pm
Press Release: New Zealand First Party
Rt Hon Winston Peters
New Zealand First Leader
Member of Parliament for Northland
10 AUGUST 2016
Is Silver Fern Selling Ashburton's Fairton to Lowe Corporation?
New Zealand First understands that Lowe Corporation is undertaking due diligence on Silver Fern Farms’ Fairton (Ashburton) pelt house operation, that will sweeten its balance sheet ahead of a proposed Chinese takeover.
“Silver Fern Farms needs to come clean about what is happening with its Fairton operations,” says the Rt Hon Winston Peters.
“On the timeline set by the quislings who want to sell-out to the Chinese, SFF would already be controlled by China’s Shanghai Mailing, so it seems there is a plan and it is being implemented regardless.
“Fairton is obviously out in the cold because the Islington venison operations are bypassing it for Pareora in South Canterbury. In June, it was also announced that Pareora will take over bobby calf processing.
“There’s a clear agenda given new working conditions and pay were put to Pareora’s workers but not to Fairton’s. According to what we have heard, Lowe Corporation is looking to take over SFF assets similar to what’s happened in the North Island.
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“Shareholders need to ask about the details of this deal. For any upfront cash, does it lock them into an exclusive supply contract period at a much higher per-pelt cost?
“Remember, if the Chinese get their way they’ll have a veto over all major business decisions. Higher processing costs will eat into any dividend that must be shared 50:50 with the Chinese, but they’ll also have final say over any dividend payout.
“There’s no free lunch in business unless you are a senior Silver Fern Farms manager, or on its board,” Mr Peters said.
ENDS
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