Pan Pac branches out with first forestry standing consent
Hawkes Bay based and Japanese owned forestry and timber products company Pan Pac Forest Products Limited has received the first forestry standing consent under the Overseas Investment Act, with top law firm MinterEllisonRuddWatts advising throughout the process.
Under the changes to the Overseas Investment Act introduced in 2018, a standing consent enables overseas persons like Pan Pac to purchase forestry assets without needing to go through the full OIO consenting process.
A standing consent is designed to speed up and simplify the process for those overseas investors who have a strong track record in completing forestry transactions in compliance with the legislation. Being able to use the standing consent avoids the requirement for multiple individual OIO applications and significantly simplifies the process for a company like Pan Pac that is expecting to be entering into a number of forestry right or land purchase transactions.
Upon receiving the decision, Consultant Paul Foley commented: “This is a significant decision affecting investment in New Zealand’s forestry sector. Having submitted on the design of the standing consent regime on behalf of Pan Pac, we are delighted to have assisted the company in receiving the first forestry standing consent from OIO. It’s an important milestone to see the government further delivering on those parts of the 2018 revisions to the Overseas Investment Act that were intended to support the forestry sector.”
Pan Pac Forest Products is delighted with the firm’s work.
“The team at MinterEllisonRuddWatts was excellent to deal with. We appreciated their technical expertise and dedication to successfully guiding us through the standing consent process,” says Dennis Hall, Pan Pac Company Secretary.
MinterEllisonRuddWatts has a strong track record within the forestry sector, as well as advising clients on overseas investment applications.