10 Oct 2014

Tasmanian farms return record profit

8:23 pm on 10 October 2014

The manger of the New Plymouth District Council's controversial Tasmanian farming operation still plans to sell the asset, despite it returning a record $8.1 million after-tax profit.

The 25 farms contributed 67 percent of the $12 million return from the council's Perpetual Investment Fund to June 2014 on the back of a record dairy payout, record production and a bounce-back in livestock valuations.

Mike Trousselot, chief executive of the fund's manager Taranaki Investment Management Limited, said it is still looking at capital raising initiatives and the farms have beome even more attractive to buyers.

The farms have been a good investment, he said, but the fund wants to reinvest in a broader range of assets.

The fund was originally set up after the council sold its stake in Powerco.

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