CPC’s Nock­atunga sells

First cab off the rank in CPC di­vest­ment sale

The Northern Star - Northern New South Wales Rural Weekly - - NEWS - An­drea Davy an­drea.davy@ru­ral­weekly.com.au

THE di­vest­ment of the Con­sol­i­dated Pas­toral Com­pany has be­gun.

CPC has an­nounced the sale of Nock­atunga Sta­tion, a prop­erty sit­u­ated in the chan­nel coun­try in Queens­land 125km west of Thar­go­min­dah, to Cleve­land Agri­cul­ture.

CPC chief ex­ec­u­tive Troy Set­ter said the sale re­flected “the qual­ity of the sta­tion and the po­ten­tial for fur­ther de­vel­op­ment”.

“Mal­colm (Har­ris) and his team share our vi­sion for in­vest­ment in land de­vel­op­ment and pre­ci­sion pas­toral man­age­ment,” he said.

Mr Har­ris said he looked for­ward work­ing with the ex­pe­ri­enced man­age­ment team at Nock­atunga.

When CPC, which is ma­jor­ity owned by Eu­ro­pean pri­vate eq­uity firm Terra Firma, was first an­nounced for sale the ad­ver­tise­ment said the busi­ness was be­ing of­fered “as a whole or in parts”.

The Aus­tralian-man­aged cat­tle em­pire has about 400,000 head of cat­tle on 16 sta­tions, eight of which are in the North­ern Ter­ri­tory, and it also op­er­ates two In­done­sian feed­lots.

It’s es­ti­mated the full port­fo­lio is worth about $1 bil­lion.

“The sale of Nock­atunga Sta­tion at a strong pre­mium to net as­set value re­flects the qual­ity of CPC’s prop­er­ties and their in­vest­ment his­tory and po­ten­tial,” Mr Set­ter said.

Ac­cord­ing to CPC’s web­site, Nock­atunga has an aver­age an­nual rain­fall of 234mm, and two thirds of the prop­erty is un­der mitchell grass.

“In a good sea­son the prop­erty is ca­pa­ble of turn­ing off 10,000-12,000 feeder steers/ox with aver­age ca­pac­ity lev­els of around 22,000,” the web­site states.

Nock­atunga was ac­quired by CPC in 1990 and is cur­rently be­ing used to fin­ish bul­locks from Isis Downs, Mi­mong as well as the bussines’s North­ern Ter­ri­tory sta­tions.

Mr Set­ter re­it­er­ated the re­main­der of CPC would con­tinue to be sold “as a whole or in parts”.

“While there have been some chal­leng­ing con­di­tions in some ar­eas of Aus­tralia, CPC’s ge­o­graph­i­cally di­verse port­fo­lio po­si­tions the busi­ness well in the cur­rent mar­ket and sea­son,” he said.

“The busi­ness con­tin­ues to per­form well, ben­e­fit­ing from in­vest­ments in prop­er­ties and ge­net­ics, as well as our In­done­sian sup­ply chain and strong de­mand dy­nam­ics for beef in Asia and around the globe.”

❝ While there have been some chal­leng­ing con­di­tions in some ar­eas of Aus­tralia, CPC’s ge­o­graph­i­cally di­verse port­fo­lio po­si­tions the busi­ness well... — Troy Set­ter

PHOTO: CLAU­DIA BAX­TER

FU­TURE PO­TEN­TIAL: CEO of Con­sol­i­dated Pas­toral Com­pany Troy Set­ter.

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