Bay winery bought after receivership

RICHARD MEADOWS
Last updated 13:04 25/01/2013
Wine
CLAIRE DE BARR/Fairfax NZ
GROWING: Delegat's Group says good sales in North America have boosted its profit. Pictured is chairman Jim Delegat.

Relevant offers

Listed winemaker Delegat's Group, which makes the Oyster Bay brand, has snapped up a struggling Hawkes Bay vineyard for $8.5 million.

The company announced to the market today that it had bought out a 61-hectare vineyard and winery owned by Matariki Wines and Stony Bay Wines, both in receivership.

According to the first receivers' reports, the beleaguered companies owe creditors about $11.2m.

Unsecured creditors, owed about $136,000, are unlikely to be paid.

The purchase brings Delegat's Hawke's Bay vineyard holdings to a total of 500 hectares.

The new vineyard is predominantly planted with Merlot, Cabernet Sauvignon and Syrah grapes, and the winery has a processing capacity of 600 tonnes.

Over the last six months Delegat's has also bought two properties in Marlborough; a 121-hectare vineyard in theWairua Valley and 91 hectares of bare land in the Awatere Valley.

Managing director Jim Delegat said the group continued to grow long-term demand for its branded wines, and the investment in high-quality vineyards supported its supply requirements.

Delegat's Group shares were unchanged at $3.20 in recent trading, and have risen 42 per cent over the past 12 months.

Ad Feedback

- The Dominion Post

Comments

Special offers
Opinion poll

What do you make of the proposed conference centre/hotel for Wellington?

Great - a big boost for the local economy

Nice - one of many projects needed

Argh - a white elephant in the making

First priority should be airport runway extension

Not sure at all

Vote Result

Related story: Convention centre to get OK

Featured Promotions

Sponsored Content