MyFarm Solar Fund LP
Commercial Property
WARNING: The law normally requires people who offer financial products to give information to investors before they invest. This requires those offering financial products to have disclosed information that is important for investors to make an informed decision. The usual rules do not apply to this offer if you are a person who comes within Schedule1, clause 3(2)(a)-(c) or 3(3)(a)-(b)(ii) (inclusive) of the Financial Markets Conduct Act 2013. This includes where the amount invested upfront by the investor (plus any other investments the Investor has already made in the financial products) is $750,000 or more. If you fall within Schedule 1, clause 3 of the FMCA as a result of this exclusion, you may not receive a complete and balanced set of information. You will also have fewer other legal protections for this investment. Investments of this kind are not suitable for retail investors. Ask questions, read all documents carefully, and seek independent financial advice before committing yourself.
Note: We urge you to carefully review the Information Memorandum and additional attachments (if applicable) before lodging an application. In the event that there are any material changes to the Information memorandum communications will be added to the attachments for review.
The MyFarm Solar Fund LP offers wholesale investors the opportunity to invest in a portfolio of solar farms throughout New Zealand, with projected returns of 10-12% p.a., supported by long-term Power Purchase Agreements.
The Offer
MyFarm is partnering with Hiringa Energy Limited, a leading green energy producer, to develop five (5MW) solar farms over the next 24–36 months. Overall, the project aims to build up to 25 MW of electricity production capacity and involve total capital of $36 million. Electricity generated from these solar farms will be sold to Hiringa Energy through long-term Power Purchase Agreements (PPAs), providing the potential for attractive inflation-adjusted returns.
The MyFarm Solar Fund will own the farm infrastructure and long-term leases and forecasts to provide cash distributions of 10% -12% p.a., paid quarterly, with depreciation benefits expected to provide significant tax advantages for investors. With these tax benefits, the target distribution of 10–12% p.a. is estimated to be the equivalent of an average of 15% p.a. return on a fully taxable investment from years 2 to 10, assuming a tax rate of 33%.
Why Renewable Energy
With strong market fundamentals and significant government support, we believe the renewable energy sector can provide attractive opportunities for private investment. The Ministry of Business, Innovation and Employment forecasts total electricity demand to grow between 35% and 80% by 2050, with electrification in the commercial and industrial sectors driving short-term growth. The government has committed to doubling renewable energy generation by 2050 to meet this demand and achieve net-zero emissions targets.
Meeting this increased demand will require an estimated $14 billion investment in new generation by 2035. Private investment generating attractive returns is critical to achieving our clean energy and environmental objectives
