Kaipara Edible Oil sale on the way?

Press, 15 August 1984, Page 36

Kaipara Edible Oil sale on the way?

PA Auckland A Queensland company is a possible buyer for the troubled Kaipara Edible Oils Refinery Company, Ltd, Set up in the 1970 s by the mysterious Dr Shrian Oskar. The small independent Brisbane-based miller, Defiance Mills, Ltd, is one of a number of companies looking at the Helensville margarine plant, which has been n receivership since June. It carries a price tag of $4 million.

A Defiance director, Mr Tom O’Brien, said from Brisbane yesterday: “We certainly are investigating It. It is the type of industry that does fit in quite well with our activities, but we’re still carrying out our investigations. “I don’t think there’s the

slightest possibility of them getting this $4 milli on price. We haven’t completed our investigations, but it’s not worth that.”

Another company which in the past expressed interest in Kaipara Edible Oils is the Auckland-based Aspak Industries, Ltd, an edible oil and margarine manufacturer.

But the chief executive, Mi- Colin Gosse, said: “We are not in the process of buying anything. A lot of people have been looking at it, but I don’t know how serious any of them are.”

Yet another possible buyer is the Auckland-based margarine and shortenings manufacturer) Abels, Ltd, but its chairman, Mr Stewart Abel, would not comment yesterday. The National Bank placed the company in receivership in June under the terms of a debenture dating to when the company was incorporated in 1977. It had earlier been on the market, and although a number of parties expressed interest in the plant, there were no takers.

In newspaper advertisements yesterday, the receivers from Kendon Cos

and Company made it clear they want the refinery to sell as a going concern.

They said the all-up value was in excess of ?4 million and that the offer represented an "ideal opportunity to acquire an up-to-date operation with latest technology at an economic price. Other benefits will' include availability of a number of highly skilled staff.” '<

The offer includes 2500 sq m of land with river access, a purpose-built plant, packing room, engineering workshop, laboratory, cafeteria and office. It also includes all plant essential to the operation. Kaipara Edible Oils was set up after Dr Oskar tried to persuade dairy farmers in the region to switch from cows to oilseed growing for margarine. • Soya bean growing did not take on, but the Kaipara Co-operative Dairy Company backed Dr Oskar’s scheme and the refinery was incorporated in 1977.

Since 1979, when the plant was commissioned, its trading performance has been poor, with accumulated losses to March 31 of $3.8 million.