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New Zealand's wealthiest man, Graeme Hart, yesterday confirmed speculation he will sell Carter Holt Harvey's wood processing businesses.
While Hart would make no further comment, the Business Herald understands "all options" are under consideration. A sharemarket float, a trade sale or a transaction involving private equity interests are considered the most likely outcomes.
It is also understood the price Hart is targeting will be much higher than the $2.24 billion Telecom secured for its Yellow Pages business earlier this year - perhaps as high as $2.5 billion
The sale is being managed by First NZ Capital and Credit Suisse First Boston.
Since Hart paid $3.3 billion for Carter Holt Harvey and delisted the top tier company early last year he has sold most of its forests for somewhere between $1.5 billion and $2 billion, and the company's head office, various retail depots and packaging plants to Australia's Valad Property Group for just over $300 million.
A successful sale of the wood processing assets would see him more than recoup his initial investment while still holding CHH's strategically important packaging divisions.
The wood products business now for sale employs thousands of people at 12 sites in New Zealand and six in Australia. Hart, whose personal wealth is estimated at $2.75 billion, topped National Business Review's annual Rich List last month.
