About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds Other Sites:   depositrates.co.nz  |   landlords.co.nz
Last Article Uploaded: Thursday, March 30th, 10:31PM
rss
Latest Headlines

The Crossings falls short but proceeds

The Crossings vineyard and winery is to go ahead despite a $3 million shortfall.

Wednesday, January 10th 2001, 3:35PM

by Philip Macalister

Farmers Mutual Group's (FMG) Crossing vineyard in Marlborough is going ahead despite the recent capital raising falling short by about $3 million.

Last year FMG decided to develop The Crossings, an internationally-focussed vineyard and winery in the Awatere Valley, by combining its two existing vineyards, Medway and Brackenfield, and buying an additional land.

To help finance the deal, The Crossings sought to raise about $7 million through a share and preference share issue. However, only about $4 million was raised when the offer closed just before Christmas.

FMG chief executive Michael Millar says the full amount wasn't raised because of the soggy equity market, plus an unfavourable report in one of the weekly business papers.

He says $7 million was a reasonably big ask, especially in the conditions which existed at the time.

While the offer fell short of the target, it isn't likely to have a major impact of the viability of the project.

Millar says it was originally intended that The Crossing would be debt-free, but now it will, in all likelihood, have to raise some finance from the banks.

He says The Crossings should have little trouble raising debt finance as a number of banks had already indicated their willingness to lend the business money. Also, the money wasn't budgeted to be spent until a winery was built in several years time.

One option that is open to The Crossing is to do another capital raising closer to the time when the winery is due to be built.

The offer managed to attract a reasonable number of new investors. About one third of those who subscribed were existing Brackenfield and Medway shareholders, while the balance were new investors.

The Crossings is currently looking for an international partner to distribute its wines.

You can read Philip's blog here: http://www.goodreturns.co.nz/blog/

« Morningstar gives unwanted Xmas presentsGet your tax questions answered online »

Special Offers

Commenting is closed

 

print

Printable version  

print

Email to a friend
News Bites
Latest Comments
  • FARs - where's the accountability?
    “doomben - you may reconsider your confidence in the BEOT after you ahve digested the following: "Entity licencing –...”
    17 hours ago by gavin austin adviser business compliance
  • FARs - where's the accountability?
    “Doomben, I think you are living in a fools paradise if you feel this way. The amount of investors' money that is involved...”
    22 hours ago by R1
  • AIA offers bolt-on cancer drug cover
    “Interesting concept but irrelevant if you have medical cover which pays for non-pharmac drugs. It is only available with...”
    23 hours ago by Tash
  • What the RB governor said
    “Is it a surprise that you don't receive any readers' comments when you refuse to publish anything that is critical of the...”
    2 days ago by DT
  • FARs - where's the accountability?
    “I think the Nicky Hager type 'corruption in high places' line is getting tiresome. My guess is the main reason regulation...”
    2 days ago by doomben
Subscribe Now

Weekly Wrap

Previous News

MORE NEWS»

Most Commented On
Mortgage Rates Table

Full Rates Table | Compare Rates

Lender Flt 1yr 2yr 3yr
ANZ 5.79 4.89 5.29 5.49
ANZ Special - 4.49 4.79 -
ASB Bank 5.80 4.99 5.19 5.49
ASB Bank Special - 4.59 4.79 5.09
BankDirect 5.80 4.99 5.19 5.49
BankDirect Special - 4.59 4.79 5.09
BNZ - Mortgage One 6.50 - - -
BNZ - Rapid Repay 5.95 - - -
BNZ - Special - 4.59 4.79 5.09
BNZ - Std, FlyBuys 5.90 4.99 5.19 5.49
BNZ - TotalMoney 5.90 - - -
Lender Flt 1yr 2yr 3yr
Credit Union Auckland 6.70 - - -
Credit Union Baywide 5.95 4.99 5.25 -
Credit Union North 6.45 - - -
Credit Union South 6.45 - - -
Finance Direct - - - -
First Credit Union 5.85 - - -
Heartland 6.70 7.00 7.25 7.85
Heretaunga Building Society ▲5.75 ▲5.00 ▲5.20 -
Housing NZ Corp 5.65 4.89 5.19 5.49
HSBC Premier 5.59 4.19 4.39 4.89
HSBC Premier LVR > 80% - - - -
Lender Flt 1yr 2yr 3yr
HSBC Special - - - -
ICBC 5.70 4.59 4.69 5.09
Kiwibank 5.55 4.99 5.19 5.65
Kiwibank - Capped - - - -
Kiwibank - Offset 5.55 - - -
Kiwibank Special - 4.59 4.79 5.25
Liberty 5.69 - - -
Napier Building Society - - - -
Nelson Building Society 6.10 5.10 5.45 -
NZ Home Loans 5.80 4.99 5.19 5.49
NZ Home Loans - Specials - - - -
Lender Flt 1yr 2yr 3yr
NZ Home Loans - Specials - 4.59 4.79 5.09
Resimac 5.30 4.86 4.94 5.30
SBS Bank ▲5.79 4.99 5.19 5.49
SBS Bank Special - 4.59 4.79 5.25
Sovereign 5.90 4.99 5.19 5.49
Sovereign Special - 4.59 4.79 5.09
The Co-operative Bank - Owner Occ 5.65 4.59 4.85 5.25
The Co-operative Bank - Standard 5.65 5.09 5.35 5.75
TSB Bank 5.65 4.80 5.15 5.45
TSB Special - 4.55 4.75 5.15
Wairarapa Building Society 5.70 4.85 4.99 -
Lender Flt 1yr 2yr 3yr
Westpac 5.75 4.99 5.19 5.49
Westpac - Capped rates - 5.15 5.25 -
Westpac - Offset 5.75 - - -
Westpac Special - 4.59 4.79 5.09
Median 5.79 4.88 5.17 5.38

Last updated: 30 March 2017 12:38pm

News Quiz

The maximum remuneration model for Australian life insurance advisers is to be set at what?

Upfront 40% + trail 20%

Upfront 50% + trail 10%

Upfront 50% + trail 20%

Upfront 60% + trail 10%

Upfront 60% + trail 20%

MORE QUIZZES »

About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox
 
Site by Web Developer and eyelovedesign.com