For many kiwifruit growers, Zespri shares are one of their most valuable assets. Until recently, however, those shares could not easily be used to support lending.
That has now changed.
Westpac New Zealand has become the first bank approved to allow eligible growers to use their Zespri shares as security when applying for lending. This means growers may be able to leverage the value of their shares alongside other assets when seeking finance.
What does this mean?
Traditionally, banks have relied primarily on property as security for loans. While Zespri shares hold significant value, they haven't generally been recognised as loan security.
With this new approach, eligible growers may now be able to:
- Use their existing Zespri shares as additional security for lending.
- Borrow to purchase additional Zespri shares.
- Strengthen loan applications where property security alone may not be enough.
- Improve access to finance for orchard purchases, development or business growth.
While lending decisions will always depend on individual circumstances, recognising Zespri shares as security is a significant step for the kiwifruit industry.
If you'd like to discuss what this change could mean for your business, or you're planning your next investment, our team is here to help. Get in touch with us to explore your options and ensure you're making informed financial decisions for the future.