One of the wealthiest man in China has spent $47 million on the Wollogorang and Wentworth cattle stations found on the coasts the Gulf of Carpentaria.
According to Financial Review, Chinese billionaire Xingfa Ma, who bought he cattle stations, also owns the Tianma Bearing Group, a company that produces ball bearings. He is also known as one of the 400 wealthiest men in China.
Broken down, he has splurged $18 million on Balfour Downs and Wandanya stations in Western Australia, while the other cattle station was worth $29 million. He also holds the title to Ferngrove Wine Group and Emu Downs Station which spans 8000 hectares next to Cervantes, WA. The newly acquired cattle station reportedly holds more or less 40,000 cattle head.
This latest cattle station purchase only proves the growing interest among wealthy Chinese investors for agricultural properties in Australia. Besides Xingfa Ma, Hailiang Group that is one of China's top 500 companies has also purchased cattle stations in the east of St George in southern Queensland. Those cattle stations are believed to be more than $40 million in value.
Both agents who negotiated the sale, CBRE's Geoff Warriner and Lex Heinemann of Heinemann Rural, chose not to disclose any major information pertaining to the property transaction. They did however admit that the deal was a good entry to the red meat industry in the nation. Mr Warriner said, "Wollogorang is located within one of the country's most unique and diverse regions, with favourable land and soil types supporting what is already a successful cattle breeding operation."
The cattle stations have successful cattle farming operations but the Chinese buyer saw an even bigger potential for the property. Mr. Warriner added, "There is scope to expand the current operation, enabling increased pasture utilisation and, therefore, an increase in carrying capacity."