Open Country Cheese Offering

[marinesalvor]

am intrigued by this... as am drawn to underdog type undertakings - eg I support Newcastle Utd FC

I like the idea of someone being confident enough to push for quota from Fonterra for high value products into good markets. The plant looks good - can also see it contributing tourist dollars

www.open-country-cheese.co.nz

keen to hear any other thoughts from the ST clan

[willy_wonker]

MS, how can I get some shares in this?

I need some rural exposure in my portfolio.

[marinesalvor]

am not quite sure how you can get shares - was a story in last weeks NBR and the website - thats all I have seen so far

[skinny]

I have rellies who are original shareholders in Tatua so am only too aware of the benefits that can be had from product differentiation in the dairy industry ;)

The link you provided piques my interest but it lacks details to say anything more. The main gripe I have with cheeses in NZ is that the bureaucrats in their infinite wisdom have banned unpasteurised milk products, and the best cheeses with high margins (such as you can get in Europe) are always made from unpasteurised milk.

Be that as it may NZ certainly isn't the only country to have banned unpasteurised products - good quality cheeses certainly have a market and if I knew more details (in particular the type of cheeses that are produced or aim to be produced and the cheesemakers involved) I could well be tempted. If its just plain vanilla varieties however, no way, I'm just not interested in buying into the commodity price cycle.

[MeNoBatty]

Been a few articles on this lately.

http://www.nzherald.co.nz/business/businessstorydisplay.cfm?storyID=3549625

http://www.ruralnews.co.nz/article.asp?channelid=37&articleid=5784

[marinesalvor]

agree totally skinny - am allergic to the commodity trap

[craic]

Willie Wonker - you need some rural exposure in your portfolio? You've got some - WRI - The fat boys bid has failed. Mark my words. WRI 200 cps by the end of the year.

[skinny]

Cheers batty - to quote from the first link:


quote:
The factory would produce premium-quality hard and semi-hard cheeses - such as cheddar and colby.


Give me a break ! If thats high quality varieties I shudder to think what the lower ones are. Better off putting your dosh in Kapiti cheeses.

[marinesalvor]

interesting article in granny herald today

[marinesalvor]

anyone got hold of the propectus yet - access have been hawking it around

[Gryffyn]

Might give them a call in response to all the emails then.

[willy_wonker]

MS, Just received a prospectus from them this morning.

Dont know much about these guys. Anyone in the industry can enlighten us on the management team and their products potential?

Have to do some due diligence.

[marinesalvor]

I would be interested to see a full director list - may be some surprises there

[willy_wonker]

Executive Chairman
Wyatt Beetham Creech (sounds like a Wild West Movie..lol)

Non-Executive Directors
Duncan Milne
Geoffery Taylor
Robert Clothier
Andrew Talley (interesting)

[marinesalvor]

That is interesting - I know AT.. Talleys as a co have good distribution in a number of key markets... not a bad sign

[trendy]

Open Country Cheese is that related to Mountain Oysters Limited [?]\\:D

[riskandreturn]

This is an interesting one....

Talked to an ex-fonterra director who had some positive comments on this operation hence me checking this thread out....

It's probably only worth entering if you're willing to hold through some tough times though....gut feeling is there's likely to be a lot of work to be done before rewards come??

[willy_wonker]

RR, I agree. Investors need a 3-5 year view in this new start up company. Not for traders. Put it away for your kids or grandkids.

[roaddog]

I"m in on this one for a long term investment.

[marinesalvor]

agreed...
pending a good reading of prospectus - I think I will be same as you Roadie

[Placebo]

Creech's involvement is significant. He is a successful businessman in his own right, involved in the early days of one of the big Martinborough wine estates. Worth keeping an eye on. Funny how these ex-pollies keep popping up...

[floyd]

anyone got an update on what they thought of the prospectus, just sent for mine today.....looking at a long term hold

[tim23]

Can you give us the phone number for a prospectus?

[Gryffyn]

Access have got em.

[Gryffyn]

As the shares won't be listed - how much trading is likely to be done after IPO?

[marinesalvor]

thats the only thing that makes me nervous - I might want to flick them and hard to do if you dont personally know other holders

[JAMP]

Have they escaped the flood damage? I know they are a little bit west of the area being discussed in the news, but it could still hamper their efforts to move to the next stage development-wise.

Regards JAMP
NZX: MCH MFT RBD SAN SKX SPN VTX WRI
Unlisted: KCE SUB

[marinesalvor]

never thought of that JAMP - Waharoa may be ok - was in western waikato yesterday and the countryside looked pretty good

[Gryffyn]

quote:Originally posted by marinesalvor

thats the only thing that makes me nervous - I might want to flick them and hard to do if you dont personally know other holders


yes, liquidity is my major concern. a share like this is like along term bank deposit and you have to hope the return is good to balance the risk

[Risk]

the wife got some of these for her long term portfolio.
Looks like there's buyers already at $1.20.
She sure knows how to pick them...her only other buy this year was Pumpkin Patch!

[k1w1]

Price will go up because they have returned over subscriptions. I applied for the minimum of 10,000.00 and had 5000.00 returned. Where are you getting that buy figure from ? If correct I'm up 20% :)

[Gryffyn]

Yes, where are the buyers?

[k1w1]

Open Country has emailed shareholders, informing them of a firm offer to buy at 1.20 and other buyers around. Will hold a register of interested sellers and buyers with prices where indicated. Will review whole process in a few months.

Let's see how that works. Liquidity will clearly be an issue.

[JAMP]

Late last week I received via e-mail a word document about how they will manage the process of putting sellers in touch with buyers.

I guess it is cost effective for Open Country, but it certainly sounds like they are giving themselves more work than is really necessary. I can't help but wonder whether in the short-term they will look at going the Unlisted way prior to seeking a formal NZX listing?

Regards JAMP
NZX: MCH MFT RBD SAN SKX SPN VTX WRI
Unlisted: BRK KCE

[Risk]

good to see that Open Country Cheese chose to list their shares in the Unlisted market.(Code OCC)

check out http://www.unlisted.co.nz/uPublic/unlisted.mt_public.securityDetail?p_prtp_id=22 for the depth...
looks like there's already buying interest at $1.50!

[k1w1]

Roll Call : Who else beside moi has made 50% on their investment in this company? There is a dispute about deliveries so MacDunk may have been warned off by the truck drivers. As well Wyatt is the tealady so may have not been much opportunity to chat up.

Can you enter and sign in please ...[8D]

[Bubble Boy]

Sshmart move, k1w1. He;s a smart boy, this Wyatt.

THe prospetus read well, but alas i was not liquid at the time :(

[kittydashwood]

Yeah Baby!

Now lets get that Whitestone Cheese up and floating. Best & creamest in all of Otago:)

[Bling_Bling]

I hear Fonterra is keeping a very close eye on Open Cheese.

[Risk]

a few traded at $2.20 today...

[k1w1]

Risk,trading at 2.25 today. Announced a 1:10 renounceable rights issue at $1.60 to pay for new whey extraction plant. Tell Mrs Risk she can come and pick stocks for me anytime.

Hold: 5000 @ $1.00