Ngai Tahu

[yesbut 5591]

Ngai Tahu's honey business not looking so flash....

https://www.stuff.co.nz/business/117651441/ngi-tahus-investments-into-honey-business-questioned-at-at-huiiwi-2019

[john berry 4686]

Why is it that bull#### bluster and bumf is believed every time but when someone like me tell the truth everyone seems to think I'm lying or have a hidden agenda .Ngai Tahu should take note that you can get bad honey crops anywhere but but when you overstock you always get  bad crops everywhere.

[Alastair 7132]

Not going to go hunting for the thread, but this was discussed here maybe a couple or so years ago, when Watson, a far more shrewed operator than Ngai Tahu, unloaded the bee side of his business onto Ngai Tahu, and kept ownership of the processing side, the only part with any long term prospect of making money.

 

At the time, the consensus here was that Watson saw Ngai Tahu coming, took them for a ride, and ran laughing to the bank. It was blatantly obvious that future earnings were not going to be what Ngai Tahu thought they would be.

 

And to tie themselves into 10 year contracts right when the boom was at it's peak, what a bunch of wallies. 😳

[CraBee 1522]

47 minutes ago, Alastair said:

Not going to go hunting for the thread, but this was discussed here maybe a couple or so years ago, when Watson, a far more shrewed operator than Ngai Tahu, unloaded the bee side of his business onto Ngai Tahu, and kept ownership of the processing side, the only part with any long term prospect of making money.

 

At the time, the consensus here was that Watson saw Ngai Tahu coming, took them for a ride, and ran laughing to the bank. It was blatantly obvious that future earnings were not going to be what Ngai Tahu thought they would be.

 

And to tie themselves into 10 year contracts right when the boom was at it's peak, what a bunch of wallies. 😳

 

I have heard though that the S&P agreement had earn out provisions, ie the payout to Watson was based upon how the business went, and when it didn't go well he didn't get those pay-outs.  By then Ngai Tahu had concerns with his conduct, and they retained the honey business while he took the medical manuka business.  As it was related to me he came out of it really badly.

 

[Alastair 7132]

Oh that's interesting Craig. At the time, seemed to me that unloading the hives was a good move, and retaining the medical manuka processing business was also a good move. 

 

Anyhow, i didn't know that payment was peformance related. There have been mixed messages since on how things have been going for the good Mr. Watson.

[tommy dave 937]

12 hours ago, Alastair said:

Not going to go hunting for the thread, but this was discussed here maybe a couple or so years ago, when Watson, a far more shrewed operator than Ngai Tahu, unloaded the bee side of his business onto Ngai Tahu, and kept ownership of the processing side, the only part with any long term prospect of making money.

 

At the time, the consensus here was that Watson saw Ngai Tahu coming, took them for a ride, and ran laughing to the bank. It was blatantly obvious that future earnings were not going to be what Ngai Tahu thought they would be.

 

And to tie themselves into 10 year contracts right when the boom was at it's peak, what a bunch of wallies. 😳

it's fascinating eh, ngai tahu/tront in general have done incredibly well in their investment decisions - wonder who knew who to allow snake oil to overcome due diligence

[kaihoka 2585]

10 minutes ago, tommy dave said:

done incredibly well in their investment decisions

That often leads to hubris and walk on water syndrome

[Sailabee 690]

Possibly part of the tribe, so thought to be more trust-worthy?

[Anne 39]

Well known in the Ag sector when the tribes and landcorp get into something its time to get out ie forestry, cows, bees next is milking sheep

[jamesc 3348]

******** ...... the way I read it Oha made a deficit of 63 mil on the honey business .    I'd say we at the end of the road beyond the black stump are lucky to be alive then ! Ten year contracts are pretty darn scary . Better off to be a cherry picker and gypsy.