The Gough family has sold Gough Group, one of New Zealand's oldest privately-owned businesses, for $211 million to Malaysian company Sime Darby Berhad.
The move followed a strategic review started last year to consider options for the group's long-term growth and also family court battles over control.
Tracy Gough founded Gough, Gough and Hamer in 1929, securing the Caterpillar dealership in 1932. It is now a diverse group incorporating 10 businesses, including the Caterpillar dealership and transport businesses.
The sale of the group's New Zealand and Australian operations is subject to Overseas Investment Office approval. Sime Darby Berhad is one of the largest Caterpillar dealers globally and is listed on the Kuala Lumpur Exchange. It entered the New Zealand market in 1999 through the purchase of Continental Car Services and has a large range of transport interests.
Two of the founders’ grandsons, Ben and Anthony, have been carrying the family’s financial flag, despite differences in their focus.
Ben Gough is the founder of Tailorspace, the investment and operational arm of the Ben Gough Family Office, as well as deputy chair and executive director of Gough Group and a director of Mike Greer Homes. Tailorspace and UK global wealth management business Alvarium Investments which has $US15 billion under supervision, formed a joint venture company, Alvarium Investments (NZ).
This entity expanded its interests last year, buying 51% of responsible investment fund manager Pathfinder Asset Management for an undisclosed price. The Auckland-based Alvarium Investments (NZ) is believed to have leased a floor of the new PwC tower being built as part of the Commercial Bay development. Late last year a consortia of Tailorspace and Alvarium Investments (NZ) took a 35% stake in Wellington coffee brand, Mojo, with a view to expanding into the US.
Anthony Gough, on the other hand, has his sights still firmly set on the Christchurch CBD, even putting a beachfront block in New Brighton on the market so he can concentrate on his central city property interests.
Gough and other family members have developed the $140m Terrace hospitality and office complex in central Christchurch and are now adding a parking building alongside it.
Anthony also has a 50/50 interest with fellow Rich Lister Graeme Wilkinson in the recently refurbished Russley Retirement Village in Burnside, which is valued at $42m.
His brother Tracy Gough bought one of Christchurch's most expensive stately homes - the former Thornycroft Estate for $6.8m last year. The renovations included adding a garage to house his collectible cars which include an E-type Jaguar, a Bentley, and a convertible Rolls Royce.
His son Jamie Gough is a third-term Christchurch City councillor, representing the Fendalton ward.
Photo: Stuff
2018: $400 million