2015, Volume 23, Paper 3
ISSN: 1883-5675
PrimeAg Australia 2007-13: A Suitable Structure for Long Term Investment in Agriculture?
Brad Plunkett
Prime Agriculture Australia Limited, 2007–2013, was a listed investor in, and operator of, agricultural properties spread between the Australian States of Queensland (Qld) and New South Wales (NSW). PAG operated as a listed entity for six years. Yet by November 2013, PAG was delisted, with its assets sold and its capital returned to shareholders. The company’s shares only briefly traded above Net Asset Value (NAV), which has been a frequent occurrence with listed Australian agricultural stocks.
This paper explores whether this listed entity was a sufficiently suitable fit for investment into the highly volatile agricultural sector by outlining the key major developments in PAG’s six-year history. The rest of the paper is organised into four sections around background on the rural land market in Australia, the key documents of the 2007 Prospectus, the 2011 Rights Issue and the 2013 Scheme of Arrangement.
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