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As at 31 March the value of combined total
assets was $876 million, up $53 million from the
same time last year. This reflects the diversified
investments in Genesis Energy and Go Bus.
The return on equity was 6%, down from 8% in
2014. This result was influenced by unrealised
investment property gains which were not
repeated at the prior year’s levels.
Total debt currently represents 31% of total assets,
which compared to 26% last year. However, total
bank debt excluding the hotels is $224 million
or 26% of total assets. TGH’s policy is that debt
(excluding the hotels) cannot exceed more
than 30%.
NGEETEHI ATU MAHI
Covering Other Bases
After 15 years of investing primarily in property,
this year saw a shift in focus towards investing in
medium-to-large private businesses that have a
strong local presence and potential for significant
growth.
TGH’s purchase of a 33% stake in Waikato Milking
Systems (WMS) in March 2014 in partnership with
Ngaai Tahu and Pioneer Capital was an early
example of this diversification strategy in action.
WMS is a proven, fast-growing business serving
the dairying sector with a range of technology
solutions bringing greater productivity to the
milking sheds of both New Zealand and
the world.
When the Government floated 49 per cent of
Genesis Energy in April 2014, TGH purchased
5.4 million shares and the share price performed
strongly through to financial year’s end. Genesis
Energy has long standing roots in the Waikato and
a close relationship with Waikato-Tainui through its
ground lease on the Huntly power station and the
former Meremere power station.
FREEING UP CAPITAL
FROM EXISTING BUILDING
DEVELOPMENTS
WILL
CONTINUE TO BE A FOCUS IN
THE YEAR AHEAD.
Property
67%
16%
Fixed Income
(Lease of Land
– Ground Leases)
9%
Primary Industries
(Farms and Fishing)
6%
Direct Investments
(WMS and Go Bus)
1%
Cash
1%
Equities
(Shares)
portfolio asset allocation - tgh and wtf
0
300
500
600
800
900
1,000
2011
total assets - tgh + wtf
400
2012 2013 2014 2015
TGH
WTF
14
20
700
200
100
812
865
725
680
645
13
14
13
11
11
$m
total assets 2015
As at 31 March the value of total assets was
$876 million, up $53 million from the same
time last year. This reflects the diversified
investments in Genesis Energy and GoBus.
16