Article by Chris Herde courtesy of the Herald Sun.
Billionaire Gina Rinehart has expanded her Wagyu cattle empire with the acquisition of two stations that were part of Packhorse Pastoral company’s “cattle and carbon” investment portfolio that went on the market following the death of co-founder Tom Strachan in 2022.
Ms Rinehart’s Hancock Agricultural, has bought the 8731ha Ottley Station west of Inverell in northern NSW and the 10,029ha Moolan Downs Aggregation in the Western Downs region of Queensland for about $80m.
Hancock Agriculture refused to comment on the price but the cattle stations were part of the Packhorse Pastoral Company portfolio of three properties that were put on the market for about $120m late last year through CBRE, with the campaign attracting more than 120 inquiries globally.
Although there were negotiations for the 8344ha Stuart’s Creek Station, northwest of Roma in the Maranoa region, a deal could not be reached.
In a statement Hancock Agriculture said the purchase was consistent with its strategy of acquiring first class properties to support growth of its annual turn-off of 2GR branded Fullblood and Purebred wagyu.
Moolan Downs and Ottley will be integrated into the Hancock Agricultural portfolio and will be part of the company’s philosophy on animal welfare which abides by the mantra that “happy healthy cattle are the best cattle”.
“We continue to drive a change in the culture across the business. Hancock Agriculture have been leaders in this regard.” Ms Rinehart said.
Packhorse Pastoral managing director Geoff Murrell said the major priority during contract negotiations was to achieve optimal outcomes for shareholders.
“Packhorse has quickly become a recognised leader in soil regeneration and sustainable farming practices and accordingly, has attracted keen interest in our magnificent properties,” he said.
“The sale of Ottley Station and Moolan Downs has met our financial expectations.”
Strachan, who died in a light plane crash in August along with his 20-year-old sonNoah and their pilot Garry Leihm, was described as the “cultural and spiritual heart” of Packhorse.
He founded the business with Packhorse chairman Tim Samway had ambitions to acquire a 2 million-hectare cattle grazing and carbon sequestration portfolio.
Backed by a number of high worth individuals, including Canberra richlister Terry Snow, the three station portfolio was strategically acquired by Packhorse in line with Strachan’s passion for regenerative agriculture.
The cleared and semi-cleared lands on all three properties were used for cattle grazing under a “grass motel” agistment agreement with a major cattle producer.
Collectively, they have been rated to carry about 13,600 Animal Equivalents and are mostly used for growing-out cattle owned by the agistor, which are bred elsewhere but moved to these stations to capitalise on their suitability for cattle fattening.
In April Ms Rinehart through Hancock Agriculture, which is the majority owner, sold $200m of S Kidman & Co Northern Territory and Queensland cattle stations in a strategy to reshape her rural holdings to focus on higher-value Wagyu beef production.
In the last two years she has divested more than $500m in cattle stations.
The latest transaction comes as local families paid a combined $21m for Dubai-based Syrian billionaire Ghassan Aboud 33,900ha Crystalbrook Station, west of Cairns, and 431ha Silkwood, on the Cassowary Coast.
The two stations produce premium beef for restaurants and hotels owned and operated by Mr Aboud’s Crystalbrook Collection as part of a “farm-to-table” experience.
