Owners of the operation, New Zealand’s New Plymouth District Council under its Perpetual Investment Fund, said that the fund had performed poorly against the wider share market and that the sale of some of its assets would be the best way to address the issue.
Local Van Diemen’s Land Company and Tasman Farms Limited director, Miles Hampton said the NZ company had planned to reduce its stake in VDL for some time, The Mercury reports.
“Their strong preference is retain some ownership investment in VDL,” he said.
“However, most potential purchasers want to secure the lot, so now the process will involve how the sale will look.”
Prospective investors include New Zealand’s Fonterra and Chinese government owned China Investment Corporation.
VDL operates 25 farms and runs around 30,000 dairy stock, producing around 10 percent of the Tasmania’s milk production.
