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NSWÂ beef processor Bindaree Beef Group has had another crack at securing a Chinese investment partner - this time successfully.
Bindaree Beef has sold a 51 per cent stake in the company to the Hong Kong-based Hui family and the Hui-backed Archstone Investment Co in return for a "significant" investment in Bindaree Beef.
Chinese/Australian free trade deal boosted
Prime Minister Malcolm Turnbull and Chinese Premier Li Keqiang have signed a deal to further boost trade between the two countries, including an agreement to boost chilled beef exports.
The amount of the investment has not been disclosed, but is believed to be between $100 million and $150 million.
The deal, which has been approved by the Foreign Investment Review Board, was settled by both parties on Thursday.
The Hui family is the controlling shareholder in the Hong Kong-listed property developer Shimao Group which has projects in Hong Kong, Asia and Australia.
The Shimao Group was founded by Hong-Kong-based billionaire Hui Wing Mau, who was ranked eighth on the Financial Review's 2017 Rich List, with a fortune of $5.96 billion.
Mr Hui has Australian citizenship after studying for an MBA at the University of South Australia in the early 1990, according to the Rich List.
The transaction comes after an agreement in October, 2015, with Chinese meat processor Shandong Delisi Food to take a 45 per cent stake in Bindaree for $140 million failed to settle.
Bindaree Beef founder JR McDonald said the partnership with Archstone and the Hui family will enable Bindaree to expand its operations to have a greater domestic and international reach.
"Our joint vision for BBG is to create a more competitive company that can cater for both local and international markets," Mr McDonald said in a statement on Friday.
"We will rapidly expand our reach while also upgrading our facilities, supply chain and distribution."
Bindaree operates a processing plant at Inverell in northern NSW, which has a capacity of 300,000 cattle a year, and the Myola feedlot at North Star in northern NSW.
Archstone Investment is headquartered in Beijing, and has interests in the food, agriculture, technology and medical sectors in China, Hong Kong and Australia.
Archstone already has agriculture-related interests in Western Australia.
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