Rangatira lifts stake in meat products firm Hellers to 62.5%

Tuesday 24th November 2015

Rangatira Investments, the Wellington based investment group, increased its holding in Hellers after buying shares from the former managing director of the meat products maker.

Rangatira lifted its holding to 62.5 percent from the 50 percent initial investment it made in 2003. Founder Todd Heller has retained his holding at 29.8 percent while former managing director Nick Harris sold some of his 19.8 percent holding, the company said in a statement. No price was disclosed and Hellers doesn't release its financial statements.

Hellers dates back to 1985, when Todd Heller, who comes from a family of butchers, opened his own butchery in the Christchurch suburb of New Brighton. The company now owns brands including Kiwi Bacon, Huttons and chicken products producer Santa Rosa.

Rangatira chief executive Phil Veal said its investment strategy was to target "middle market New Zealand businesses that have strong growth prospects, to deliver returns to its shareholders and to be part of building iconic New Zealand brands like Hellers."

"We are looking for more medium-sized New Zealand companies that need investment and have the potential to mirror the success of Hellers," he said.

In June, Rangatira reported a 15 percent gain in annual underlying earnings to $9.2 million. Net profit fell 65 percent to $13.7 million, reflecting a year-earlier gain from the sale of its 50 percent stake in Contract Resources to Hellaby Holdings. The company had about $200 million of assets under management at June 30.

Rangatira has two classes of shares that trade on the Unlisted platform, with 35 percent held as class ‘A’ shares and 65 percent in class ‘B’ shares to differentiate between charitable and non-charitable shareholders. The class A shares last traded at $9.75 and the class B shares at $9.25.

BusinessDesk.co.nz

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