Rangatira buys controlling stake in lab equipment firm Bio-Strategy
By Paul McBeth
July 7 (BusinessDesk) - Rangatira Investments, the Wellington-based investment firm, bought 70 percent of lab equipment
firm Bio-Strategy for an undisclosed sum, to help the firm expand into new markets and broaden its offering.
The investment firm bought the stake from Bio-Strategy directors Graeme Thompson and Robert Lyon, who will keep 30
percent of the firm and remain executive directors of the company, Rangatira said in a statement. Bio-Strategy sources
products from high-tech manufacturers which it then supplies to clients across Australia and New Zealand, including
hospitals, Crown Research Institutes and police forensic units, while providing ongoing service.
"We will work hard with Graeme, Robert and their extraordinary team at Bio-Strategy to drive significant growth, both
organically and through acquisition where appropriate," Rangatira chief executive Phil Veal said. "We see great
potential for growth in Bio-Strategy."
Rangatira has been looking for further investments, saying it prefers middle-market businesses, which are profitable and
generate revenue of at least $20 million with strong growth potential, and prefers to invest as a cornerstone
shareholder.
Veal told BusinessDesk he sees most of the growth opportunities in Australia and New Zealand, with large corporates with
heavy research and development investment, education providers, and public health and services the target markets.
"We've got hardware items we're either customising here for local clients and local conditions, but actually servicing
them with people who really know their stuff here," he said.
Rangatira is still on the hunt for new investments, and Veal said he expects to make some announcements in the next six
to 12 months.
"We think it's a good time to put that capital to work so we're actively out in the market," he said.
Rangatira has two classes of shares that trade on the Unlisted platform, with 35 percent held as class ‘A’ shares and 65
percent in class ‘B’ shares to differentiate between charitable and non-charitable shareholders. The 'A' shares last
traded on June 19 at $9.50, while the 'B' shares traded on June 29 at $9.30.
(BusinessDesk)