The Guardians have made a range of successful investments in New Zealand. These include Datacom, Kaingaroa Tipu, Z Energy, Metlifecare, Kiwibank, NZ Gourmet and Fidelity Life. We have also invested in residential property in Hobsonville and rural land across the country.
Awanui
In November 2020, New Zealand’s largest provider of pathology services, Awanui (formerly Asia Pacific Healthcare Group), was sold to NZ Super Fund and the Ontario Teachers’ Pension Plan Board (Ontario Teachers’) each taking a 50 percent stake. The purchase from Australian private healthcare provider Healthscope is valued at approximately NZD550 million and was finalised on 30 November 2020 after the Overseas Investment Office consented to the acquisition. Awanui provides pathology services to 13 District Health Boards and has more than 2,000 staff operating across its network of 25 laboratories and 150 collection centres. More recently, the company has been conducting around one-third of all COVID-19 testing in New Zealand, the largest of any single service provider, with further testing capacity to support the country’s testing needs as required. Awanui is also a leading provider of veterinary pathology and analytical testing services in New Zealand.
Fidelity Life
In early 2018 the Guardians finalised its investment in Fidelity Life, New Zealand’s largest locally-owned life insurer. The transaction saw us take a NZ$100 million, 41.1% cornerstone stake in the company. Founded in 1973, Fidelity Life provides life insurance products for individuals, businesses and employers via a network of 2,700 independent financial advisors, as well as through strategic alliance partners. In 2017, Fidelity Life paid out more than $105 million in claims to its customers and was named Life Insurance Company of the Year. We see our investment in Fidelity Life as a rare opportunity to take a significant direct stake in a well-respected New Zealand company. The investment is managed by our in-house team of investment professionals.
Kaingaroa Tipu
The Guardians' single largest investment is Kaingaroa Tipu, in which we have a 42% stake. Covering around 178,000 hectares of planted forest, Kaingaroa is widely recognised as one of the world’s premier softwood plantations and is a major supplier of logs to the domestic and export markets. Our investment partners in Kaingaroa include PSP Investments and Kakano Investments, a collective of iwi groups which are also part-owners of the underlying land. The forest is managed by Timberlands Ltd, which is wholly owned by the Kaingaroa partnership, to Forest Stewardship Council certification standard.
Rural Land Portfolio
Rural land is an important asset class for the NZ Super Fund. It provides diversification, a hedge against inflation, and potential for development and value enhancement.
Our investment in rural land goes back to 2010, when we purchased three South Island dairy farms. Since then, we have assembled a portfolio worth more than $NZ1 billion that includes exposure to beef and sheep meat and a range of horticultural sectors, including pipfruit, grapes, hops and kiwifruit.
Our sustainable finance approach entails a strong focus on the impact our investments have on the community and the environment, and that is reflected in the way we manage our rural assets. The health and safety of workers on our properties is a major focus for us and for our investment managers, while introducing improved management techniques and new technology is helping us to maintain and even increase financial returns while continuing to reduce the portfolio's emissions intensity.
Datacom
The Guardians is a significant minority investor in Datacom Limited, holding 39% of the company. Datacom is a good fit for our NZ Direct Strategy, with sought-after attributes such as a strong competitive advantage, favourable industry dynamics, a capable Board and management team, and compatible long-term shareholders. Its conservative balance sheet and long-term investment focus are well suited to the Guardians' approach as a long-term, growth-oriented investor. This investment is managed by our in-house team of investment professionals.
NZ Gourmet
In mid 2018 the Guardians took a 27% stake in NZ Gourmet. Our decision to invest in the company, and our confidence in its long-term prospects, is backed by growing demand for fresh fruit and vegetables, and an increasing focus by consumers on health and wellness. Established in 1982 as a specialist exporter of premium quality New Zealand produce, NZ Gourmet produces and markets a range of high-quality fresh fruit and vegetables including capsicums, blueberries, asparagus, tomatoes, strawberries and cherries. The company operates extensive growing facilities across New Zealand, including a purpose built blueberry farm in Hawke's Bay, a glass-house capsicum operation in Auckland and Taupo, and a cherry and blueberry orchard in Central Otago. NZ Gourmet also has operations in the United States, Australia, Mexico, Peru and Ecuador. Led by CEO Paul Martin, NZ Gourmet has approximately 500 full time employees globally.