Friday 13th September 2019
|Text too small?|
KiwiSaver and financial services provider Booster is eyeing further listings to give investors exposure to privately held businesses and assets through public markets.
The firm will list its recently launched Private Land and Property Fund on the NZX on Sept. 18. With equity of $50 million and debt of $17 million, the PLPF is a property trust that has been investing for the past two years but was opened up to public contributions "a few weeks ago", Booster Financial Services chair Paul Foley told BusinessDesk.
The fund is one of a range of offerings from Booster, which formerly traded as Grosvenor Financial Services, including the Tahi fund, which makes investments in horticulture, wine production and specialised manufacturing.
Foley described the PLPF compliance listing as "a proof of concept in respect of our funds" and said the company would consider further opportunities to list Booster vehicles following simplification of NZX rules for such listings.
"We are looking at some specific specialised investment exposures," he said, citing the Tahi fund as one that was "not directly publicly accessible for retail investors yet."
"It's worthy of consideration of some level of public participation."
The PLPF holds mainly horticultural and viticultural land and is exposed also to income from cropping, particularly grape harvests.
Those assets may be supplemented with investments in industrial, commercial and retail properties, including land, buildings, bearer plants,and plant and equipment, the PLPF product disclosure statement says.
"The fund obtains its property exposure by buying units in a separate wholesale property fund managed by Booster – the Private Land and Property Portfolio (Wholesale Fund) established under the Booster Investment Scheme."
Investors currently subscribe for units in the property trust, where the Public Trust acts as trustee. They will avoid redemption fees for withdrawals through on-market trading.
Foley said there are no current plans to raise further capital.
Some 30,776,867 units will be listed initially.
NOTE: please be advised to read full articles from Business Desk Website, you will have to pay a subscription fee on their website.
No comments yet
NZ dollar consolidates weekly gain of more than a US cent
NZ dollar holds gains on improved dairy, bank capital outlook
MARKET CLOSE: NZ shares gain; banks rally on Reserve Bank capital decision
NZ dollar rises; bank capital rules less harsh than expected
RBNZ relaxes capital requirements, allows preference shares, extends phase-in
NZ dollar extends gain amid mixed US data, possible trade progress
MARKET CLOSE: NZ shares dip on eve of major regulatory decisions
NZ dollar sees off global headwinds, holds above 65 US cents
NZ dollar holds above 65 US cents; dairy auction prices mixed
Dairy index falls on weaker butter, milk fat demand