May 9, 2021

Maori News & Indigenous Views

Opinion: Maori Monopoly, what a game! | Te Prophet

2 min read

Ngai Tahu missed out with the NZ Superannuation Fund to purchase Hubbard’s empire. It was a cheap bid anyway, the Government understood this despite the perception that tax payers might have saved $300million.

However if you think about the dairy industry South Island debt involved and Fonterra’s plans in the USA to establish a foothold through America’s central business distribution hub you can bet on South island dairy investments exploding 10 fold possibly more over the next 5-8 years. Ngai Tahu obviously had crunched some numbers but could bet on being a small stakeholder given their debt and equity ratio.

The Fund however is a beast so it could easily absorb immediate financial risks and rely upon the government to bail it out of trouble if something drastic happened to everyone else’s hard earned savings. But what I found most interesting is that Maori was taking this kind of risk in the first place but more importantly sided up with a big player anyway to make this bold bid. This is great stuff to a certain extent. I also like the fact that they have some convincing heavy management hitters to guide them.

If you think Maier did not have any conflicts of interest nor was he influencing the strategic direction of Ngai Tahu to corporate strip Hubbard bare then we all live in a yellow submarine. However Tainui Holdings doesn’t pay their directors any financial incentives yet rush to tell everyone that 10% profit is great?

How then does this motivate performance to exceed on behalf of their beneficiaries? The business round table don’t like this kind of modelling or ‘closed end societies’ structures which stifles innovation and entrepreneurial ambition if you believe their korero, but then again the cuzzie from the east coast Rob Mcleod advises both groups so who knows? Anyway Robin Hapi should do the same with Sanford’s and just tell the market that Maori are going Pacific. Maybe more jobs for the cussies in Te Tau Ihu? Kukutai anyone?

Te Prophet
—- came across this mean as Maori Blog and will be bringing you words from Te Prophet as they arise. Te Prophet’s commentary covers a range of topics including Maori politics, business, development, research, investment, critique and journalism.

About Te Prophet:

Thinks without thinking, probably a soldier without a general but prepayed to pay the ferryman”

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