The funds invested in Manuka Health by Auckland-based Waterman Capital will be applied to growth initiatives which will assist the business to continue its rapid, export-led expansion. The company, a leader in the commercialisation of science-based biotechnologies for human healthcare applications, has a strong focus on research and development. The funds raised will enable it to continue to reinvest in this area.

Manuka Health utilises the unique healing properties of manuka honey and other bio actives from New Zealand native flora and fauna, to produce and sell some 80 functional foods, dietary supplements and wound-care products. It exports to 45 countries, where its product is sold through pharmacies, health food stores and department stores.

The business has enjoyed compound annual growth of more than 50% per annum over the last six years with annual sales reaching approximately $20m this year. Further growth is expected to come from a wound-care range which has been developed in conjunction with a U.S. partner and will be launched in New Zealand this month. The range uses manuka honey as the natural anti-bacterial agent in the dressing.

The company is seeking to scale up production to cater for forecast growth. Over the next two years, it will invest around $8m in a new processing facility in Te Awamutu, and centralise its warehouse and distribution centres, making it one of the largest employers in the region.

Growth in the health and nutrition sector is supported by a number of compelling global trends such as an ageing population, growing pressure on public health systems in the face of escalating demand, and increasing consumer awareness of health issues.

New Zealand manuka honey contains high levels of a bioactive compound, methylgyloxal, which is responsible for its unique antibacterial activity. These health benefits are gaining increasing recognition internationally resulting in strong demand.

Executive director of Waterman Capital, Chris Marshall says, "Manuka Health is strategically well-placed to exploit the many benefits inherent in this uniquely New Zealand product through its brand equity, production and manufacturing facilities and global distribution network.

"This is a fantastic New Zealand success story and Waterman is looking forward to being part of the next chapter," says Marshall.

Manuka Health founder and CEO Kerry Paul says, "Waterman brings capital to fuel growth and skills to support the company through an important period in Manuka Health's lifecycle.

"We have big ambitions for the business and this will certainly assist us in achieving them," says the industry veteran.

For more information please contact:

About Manuka Health New Zealand Limited

Founded by Kerry Paul, Manuka Health began trading in 2006 and has quickly grown to become a key player in the manuka honey sector. The company is the first in the world to introduce a robust, scientific measurement for rating the levels of the anti-bacterial compound, methylglyoxal, in manuka honey. It manages supply from the beehive to the shelf,  producing and distributing manuka honey together with related functional foods, dietary supplements and wound-care products. Products are exported to 45 countries through third party distributors and then sold through pharmacies, health food stores or department stores. Manuka Health has ISO 9001 and ISO 17025 certification and accreditation under the NZ Food Safety Authority Risk Management Programme. The company is committed to producing effective, science-based natural health solutions and works with leading scientific research centres in New Zealand, Australia, Japan, Germany, USA and UK.

Additional information is available at www.manukahealth.co.nz

About Waterman Capital

Waterman Capital is a New Zealand owned and based private equity firm established by Matt Riley and Chris Marshall in 2004. It is focused on investing in and adding value to mid-market businesses in New Zealand.  Waterman Capital was the first manager appointed by the New Zealand Superannuation Fund (www.nzsuperfund.co.nz) for its Expansion Capital Strategy in 2010.

For more information visit www.waterman.co.nz.

Auckland-based Waterman Capital's shareholding in Healthcare Holdings Limited, the holding company which owns MercyAscot Hospital, has been acquired from Emerald Group.

MercyAscot Hospital is the largest private hospital operator in Auckland, with 19 operating theatres and over 250 beds across the city. It is a leader in cancer care, orthopedics, neurology and cardiology. The business also holds interests in a number of complementary joint ventures in the areas of cancer care, angiography, radiology, PET-CT scanning, endoscopy, laparoscopy and other general day surgery operations.

Additional assets within Healthcare Holdings include a majority interest in Kensington Hospital in Whangarei, and a minority interest in Boulcott Hospital in Lower Hutt.

New Zealand's ageing population has led to a major increase in healthcare expenditure in the last decade. The proportion of the population aged 65 years or older is estimated by Treasury to be 12%, but that group accounts for 40% of health expenditure. By 2050 the proportion of the population aged over 65 years is expected to be 24% with the share of total health spending increasing to 63%.

Executive director of Waterman Capital, Chris Marshall, says that the acquisition puts Waterman and its investors in a good position to benefit from these key demographic trends. Marshall will join the board of Healthcare Holdings.

"The key attraction for Waterman is the many opportunities for growth available to Healthcare Holdings. The business has a quality management team which has been together for some time with a clear mandate to execute on those opportunities."

The business recently invested in a leading edge Positron Emission Tomography - CT (PET-CT) scanning facility, which Marshall says is an example of showing leadership in the area of cancer care. PET-CT scanning enables the presence of cancers, and particularly their progress, to be assessed much more accurately than traditional diagnostic technologies.

Managing Director of Healthcare Holdings, Andrew Wong, welcomed Waterman as a cornerstone shareholder. "We look forward to working with Waterman. We have some exciting prospects ahead of us, they clearly understand these and are looking to support us through this next phase."

For more information please contact:

About Healthcare Holdings

Established in 1997, Healthcare Holdings owns and operates the Mercy and Ascot hospitals in Auckland, holds a majority interest in the Kensington Hospital in Whangarei and is a minority shareholder in Boulcott Hospital in Lower Hutt.  The business also operates a number of joint ventures in the areas of angiography, radiology, PET CT scanning, endoscopy, laparoscopy and other day surgery procedures.

Additional information is available at www.mercyascot.co.nz

About Waterman Capital

Waterman Capital is a New Zealand owned and based private equity firm established by Matt Riley and Chris Marshall in 2004. It is focused on investing in and adding value to mid-market businesses in New Zealand.  Waterman Capital was the first manager appointed by the Guardians of the NZ Superannuation Fund for its Expansion Capital Strategy in 2010.

For more information visit www.waterman.co.nz.

Waterman Capital has today confirmed it has invested in a company with a box-seat position for feeding the skilled labour hunger of blue-chip Australian and New Zealand corporates involved in the mining, construction, infrastructure, financial services and other sectors.

Auckland-based Waterman Capital has acquired a 50% shareholding in migration services business Working In Limited in order to assist, and to participate in, the company's growth plans.

Auckland-based Working In has a decade-long history of assisting skilled migrants from the United Kingdom, South Africa and Canada to move to, work and live in Australia and New Zealand for contracted clients including BHP Billiton, Caltex, Rio Tinto, Downer EDI, Commonwealth Bank of Australia, Beca, and Fisher & Paykel Appliances.

Working In channels skilled employees to such talent-hungry corporates via migration and employment expos, the scale, complexity and built-in high-quality client base of which are very difficult to replicate. 

Executive director of Waterman Capital, Chris Marshall, says that the acquisition puts Waterman and its investors in a good position to benefit from broader economic trends relating to ageing populations and labour demands.

 "The coming structural shortage in the labour market has been well-canvassed in submissions to the Savings Working Group and more recently by respected commentators on both sides of the Tasman.

"Working In has a proven, blue-chip employer-driven offer which positions it well for a labour market where those companies are facing ever-tougher competition for a dwindling number of suitably qualified candidates in their home countries," Mr Marshall says. "We are looking forward to working with founders Scott Mathieson and Hayley Roberts."

In New Zealand this has been noted by BNZ Chief Economist Tony Alexander who has made the following comment: "One of our key views is that the economy is going to run into some structural labour shortages from the latter part of 2012. If you're not considering migrant sourcing you are going to have a problem."

Chief Executive and co-founder of Working In, Scott Mathieson welcomed the investment from Waterman Capital.

"We have positioned Working In to lead the market in skilled migration over the next decade. We believe the partnership with Waterman is ideal to realise the potential of that position" says Mr Mathieson.

Executive directors of Waterman Capital Chris Marshall and Matt Riley will join the company's board, which includes Peace Software co-founder Ross Mathieson.

For more information please contact:

About Working In

Established in 1998, Working In seeks to connect skilled professionals with employers through high quality and popular expos and websites. Working In has successfully organized the Opportunities Expos in the UK and South Africa for the past 12 years and recently added a Canadian expo. Working In also offers a visa consulting service assisting migrants to obtain working visas and permanent residency in New Zealand, Australia and Canada.  Working In has offices in Auckland, Sydney and London.

Additional information is available at www.workingin.com.

About Waterman Capital

Waterman Capital is a New Zealand owned and based private equity firm established by Matt Riley and Chris Marshall in 2004. It is focused on investing in and adding value to small to mid-market businesses in New Zealand.  Waterman Capital was the first manager appointed by the Guardians of the NZ Superannuation Fund for its Expansion Capital Strategy in 2010.

For more information visit www.waterman.co.nz.

Most recently Steve was General Manager Operations with Briscoe Group having responsibility for the Briscoe, Rebel Sport and Living and Giving retail stores. Steve has spent 13 years with Briscoe Group in roles including General Manager of Rebel Sport.  Prior to this Steve worked in a number of retail focused roles at Levene for 12 years, including Store Manager, Area Manager, National Operations Manager.

We believe Steve brings a wealth of industry and related experience to Guthrie Bowron that will assist the group to execute its strategy and reach its growth potential.

Following a first close on 1 July the fund received further commitments to achieve its target in a relatively short timeframe.  Waterman is the first manager appointed by the Guardians of the New Zealand Superannuation Fund for its Expansion Capital Strategy, which is part of its global private equity strategy.  The Guardians have committed $30m to the fund.  Waterman has also received strong support from other local institutions, including the Accident Compensation Corporation and returning investors from its first fund.

The Fund will make equity investments into private New Zealand companies. Target companies will have proven business models and a profitable track record. They will require further capital to attain growth targets, to expand internationally, or to assist with ownership succession.

For more information please contact:

About Waterman Capital

Waterman Capital is a New Zealand owned private equity firm established by Matt Riley and Chris Marshall and began investing in 2005. It is focused on investing in and adding value to small to mid-market businesses in New Zealand.  For more information visit www.waterman.co.nz.

Waterman Capital is the first manager appointed by the Guardians for its Expansion Capital Strategy, which is part of its global private equity strategy. The Fund is the second private equity fund to be raised by Auckland-based Waterman Capital since its establishment in 2005.

In addition to the commitment from the Guardians, Waterman Capital has received strong support from investors who participated in its first fund raised in 2005, many of whom have substantially increased their commitment.  Waterman Capital has also attracted a significant number of new investors and is close to finalising support from several parties that will take the Fund's capitalisation to above $75 million.

The Fund will make equity investments into private New Zealand companies with values ranging from $10 million to $50 million. Target companies will have proven business models and a profitable track record. They will require further capital to attain growth targets, to expand internationally, or to assist with ownership succession.

The Guardians' General Manager, Investments, Matt Whineray, said the Guardians had been actively seeking high-quality opportunities to invest in smaller, high-growth, privately owned New Zealand businesses constrained by a shortage of capital.

"This investment will assist with meeting the Fund's purpose of reducing the tax burden on future New Zealanders of the cost of New Zealand Superannuation," Mr Whineray said. "We are pleased that, in serving that purpose, we can assist New Zealand businesses to grow to their potential."

Executive director of Waterman Capital, Chris Marshall welcomed the Guardians as a cornerstone investor.

"Waterman targets a deep pool of private companies that represent the heart of the New Zealand economy. These companies often require additional capital and expertise to take the business to the next level. We see our role as partnering with business owners to overcome these problems and grow wealth for all stakeholders."

Mr Whineray said that the Guardians had followed a thorough process to select Waterman. "We use external managers only when we firmly believe that the manager is operating in an investment environment conducive to generating returns better than could be achieved investing passively; when the manager is utilising a sound investment strategy; and where the manager has satisfied our demanding due diligence hurdles."

"Waterman has established an experienced investment team with a proven track record of success in selecting private companies able to create value through growth and change", Mr Whineray said.

The Guardians already have significant investments in New Zealand, with some NZ$2.9 billion or 19% of their portfolio (about 31% including cash) invested in New Zealand equities, infrastructure, property, timber, other private equity and fixed income at 31 May 2010.

For more information please contact:

About the New Zealand Superannuation Fund

The New Zealand Superannuation Fund, which commenced investing at the end of September 2003, is designed to reduce the tax burden on future New Zealand taxpayers of the cost of New Zealand Superannuation. An ageing population means the cost of providing New Zealand superannuation is expected to double over the next 50 years. To prepare for this, the Government has made contributions to the Fund while the cost of superannuation is relatively low. The Fund will invest the money on a prudent but commercial basis and the Government will begin to make withdrawals from 2031, when the cost of superannuation has increased. As at 31 May 2010 the value of the Fund was NZ$15.9 billion.

For more information about the Expansion Capital Strategy, how the Guardians appoint investment managers and about the Fund generally visit www.nzsuperfund.co.nz 

About Waterman Capital

Waterman Capital is a New Zealand owned and based private equity firm established by Matt Riley and Chris Marshall and began investing in 2005. It is focused on investing in and adding value to small to mid-market businesses in New Zealand.  For more information visit www.waterman.co.nz.

Whilst we had not been contemplating a sale, this is a very successful outcome for Waterman and it puts the group in a strong position going forward.

For further information contact:

Matt Riley or Chris Marshall
+64 9 3620522

Gluck is one of the largest independent freight forwarders in Australia and clearly had strategic value to trade parties such as Toll. While this divestment was not consistent with IFL's longer term strategy in the sector the Board of Waterman considered the offer to represent good value for shareholders.

The shareholders of Gluck, including IFL, have retained Gluck's New Zealand business on a pro-rata basis. IFL has also retained its holding in the Australian warehouse and distribution business. We will provide shareholders with an update on these minor interests in the near future.

The Executive Directors are pleased with the outcome of this transaction and look forward to discussing this in more depth at the Annual Shareholders Meeting.

For further information contact:

Matt Riley or Chris Marshall
Waterman Holdings Limited
+64 9 3620522

The purchase is based on bringing together the strengths of Victory and Express in the Australian market, to create a strong freight forwarding, customs clearance and logistics business with a focus on the following key trade-lanes: China & SEA Imports; USA Imports & Exports; and Trans-Tasman freight, distribution & logistics.

"This acquisition provides further depth and scale to our existing Australian branch network," said ELG Managing Director, Graeme Mann. "The merger will create a number of positives for both Victory and Express businesses, clients, suppliers and staff. The end result will be a stronger combined business that will provide the aggregated client base with access to a broader range of services."

For further information contact:

Matt Riley or Chris Marshall
Executive Directors
Waterman Holdings Limited
+64 9 3620522

The David Reid Homes brand is synonymous with quality and the company positions itself at the upper end of the group builder market. The group won 37 awards at the Registered Master Builders 2006 House of the Year Awards, highlighting the strong capabilities of the franchise network.

Both locally and internationally there is a trend towards group builders and away from independent operators. David Reid Homes is well positioned to benefit from this trend as the building industry continues to consolidate.

Consumers are increasingly seeking certainty around the quality, pricing and timing of a residential building project. Well organised national players with strong brands such as David Reid Homes are in a strong position to benefit from this flight to certainty.

David Reid Homes was previously owned by three individuals, all of whom remain as shareholders of the company. If you have any questions regarding this media release please contact either Matt Riley or Chris Marshall on 09 362 0522.

For further information on David Reid Homes visit www.davidreidhomes.co.nz.

Or contact

Matt Riley or Chris Marshall
Executive Directors
Waterman Holdings Limited
+64 9 362 0522