Chinese investment firm Genius Link Asset Management Group is interested in bidding on CPC, the nation’s biggest privately owned cattle group, the sale could be worth up to $1billion
CHINESE Investment firm Genius Link Asset Management Group, which unsuccessfully bid more than $350 million for the S. Kidman & Co cattle empire, says it would be interested in bidding for all or part of the Consolidated Pastoral Company as it looks to build more farmgate investments in Australia.
British private equity giant Terra Firma is working with advisers Goldman Sachs and Knight Frank to test the market for potential buyers of Consolidated Pastoral Company, the nation’s biggest privately owned cattle group, in a process that could generate proceeds of about $1 billion, The Australian reports.
Hong Kong-based GLAM founder Joel Chang said his company would be interested in CPC’s portfolio of assets, which include almost 360,000 head of cattle spread over 16 stations spanning more than 5.6 million hectares.
“It is definitely one of the best assets in the country. They have a very good set-up in terms of the processing side and in terms of the logistics they are well set. On the market front, it is probably one of the best times in terms of history,’’ he told The Australian.
It has been speculated that despite CPC already being in foreign hands, Chinese bidders would look to partner with Australian firms when making offers for it to quell community concerns following the storm surrounding last year’s sale of Kidman, which was eventually purchased by billionaire Gina Rinehart and a Chinese partner.
Mr Chang said GLAM would be respectful of the Australian regulatory process.
“We definitely will comply with the regulations and we respect those on the Australian front, including the Foreign Investment Review Board,’’ he said, revealing that some of his partners in GLAM had already purchased small-scale cattle farms in Australia since its failed Kidman bid.