Alliance Group confirmed the closure of Smithfield’s meat processing plant and 600 jobs to go with it in October last year.
The plant, operational for 139 years, has faced hurdles due to declining livestock numbers and reduced demand for red meat in key markets, particularly China.
A month later, the farmer-owned cooperative announced a net loss after tax of $95.8 million for the year ending in September, which included $51 million allocated for the expenses related to the closure of the Timaru site and associated redundancies.
The farmer-owned cooperative reported a $70 million loss after tax for the year ending September 2023, a major decline from the previous year’s profit of $73.6 million. This prompted the cooperative to seek assistance from its shareholders to raise capital.
Subsequently, it engaged Craigs Investment Partners to explore options for raising external capital.
The 32.4-hectare industrial and rural site is now on the market.
“The historic Smithfield meat processing plant has been a major icon in this growth location and is now offered to the market for definite sale,” Colliers real estate listing indicates.
Alliance has mostly decommissioned the meat processing operations at the site. The three titles available include buildings equipped with cold storage and essential service infrastructure, featuring a substantial high-power supply and water intake, as stated by the company.
The deadline for the private treaty sale is set for March 26.