Done Deal: A collation of recent fundings secured, contracts inked and deals did, for the tl;dr crowd, 27-05-16
Fish oil refiner SeaDragon has announced that Comvita has agreed to advance $3 million via a convertible loan to assist the company through its staged exit of the Omega-2 market and build-up of the Omega-3 business.
SeaDragon Chairman Colin Groves said: “Over the last 12 months SeaDragon has transformed its business. With the completion of our new Omega-3 refinery, we have lifted the company’s processing capacity from just over 200 tonnes to 5,000 tonnes per year.”
“As we signalled in late April, volatility in Omega-2 markets has overshadowed these achievements, with SeaDragon experiencing an extension in the Omega-2 sales cycle, and a build-up in inventory. This has resulted in a slower transition from that market and a run-down of cash reserves.”
“Comvita’s agreement to advance $3 million via a convertible loan allows this transition from Omega-2 to Omega-3 to occur in a smoother way”.
Image: Seadragon chairman Colin Groves
Comvita also announced, along with Putake Group, an agreement to form a 50:50 joint venture, Putake Group Holdings Limited.
Comvita CEO Scott Coulter said the Joint venture is part of a strategy of securing supply to meet the global demand for Manuka honey.
“Working with Putake will enable us to secure honey supply in the top half of the South Island as well as providing a platform for future growth. The JV will enable us to accelerate the development of a wholesale honey business in the South Island, through speed of execution, immediate scale, finance and resourcing to secure supply.”
Image: Comvita CEO Scott Coulter
The consideration for the acquisition will include $2 million of Comvita shares, based on a 20 day Volume Weighted Average Price, and will be issued out of existing treasury stock by Comvita. Settlement, subject to final documentation, will occur on July 1, 2016.
Lion New Zealand and Panhead Custom Ales have reached an agreement for Lion to acquire the assets of Panhead’s craft beer business, effective 1 July 2016.
Panhead Custom Ales will continue as a standalone business unit within the Lion family, producing the same great beers from the same Upper Hutt brewery, under the direction of brewery founder Mike Neilson.
Neilson says, “The chance to have Panhead’s future supercharged by a merger with the big boys was too good to pass up. Lion’s backing will help Panhead grow to a point where anyone, anywhere in the country will be able to experience our beer.”
Mike Neilson will continue as the creative force behind the business, and together with general manager Josh Drake, will be responsible for the day-to-day running of what’s going to be a very productive brewhouse. All roles within the Panhead business will remain unchanged.
The Auckland North community gathered at Massey University’s Albany campus on May 23 to commit to becoming a world-class innovation hub.
Cornerstone partners to the ‘Grow North’ initiative – Massey University, Auckland Events and Economic Development (ATEED) and Bank of New Zealand (BNZ) – announced an intention to fund the next phase of the project to an audience of business, education and local government leaders.
Brett O’Riley, ATEED chief executive, predicted Auckland would become home to more than 50% of New Zealand’s technology companies within the next 18-24 months. He also promoted the concept of a “polycentric city”.
“We don’t want people to go across the harbour bridge every day. We want people to be able to live, play and work in their communities. That is the only way we will be able to sustain this amazing lifestyle that we have and continue to grow.
“In the future I want people to feel this is a region they can live and work in their whole lives because it is so rich in opportunity that they don’t want to leave.”
Image: Brett O’Riley, Gary Monk and Ted Zorn.
Lenovo has announced the appointment of Mike Hill as country manager for New Zealand, effective immediately.
In the role, Hill will be responsible for Lenovo’s New Zealand business and sales strategy, driving business growth, and strengthening all of its New Zealand offerings. This move echoes Lenovo’s increased focus and investment in New Zealand and its channel partners there following the Lenovo Live events held in Wellington and Auckland in April.
“This appointment strengthens our local commitment to the channel in New Zealand by adding a substantial on-the-ground presence. Mike will be instrumental in leading a dedicated approach in New Zealand that will include further allocation of marketing, supply chain and technical support resources to our partners there” said Matt Codrington, managing director of Lenovo, ANZ.
Prior to this, Hill was Country Manager for Dell New Zealand where he was responsible for building and executing the country strategy, resourcing, governance, and business growth.
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