default-output-block.skip-main
Indigenous | Business

Māori investment fund buys stake in NZ’s largest truck leaser

Māori investment fund Te Puia Tāpapa has made its first punt – a stake in TR Group believed to be more than 27%.

Te Puia Tāpapa went in with the NZ Super Fund and Direct Capital to seal the deal.

TR Group is the largest truck lease provider in the country. Leasing trucks means drivers can become self-employed without the enormous upfront capital costs involved with buying their own rig.

Te Puia Tāpapa chair Paul Majurey (Marutūahu) says the TR Group was a good investment as it had fared well during the 2008 global financial crisis as well as Covid-19. In addition, Majury cited the growth of the transport industry as another factor in doing the deal.

The investment group is funded by 26 iwi Māori and Māori entities. They prefer long-term investments of 15 to 20 years that increase their investments, rather than pay out dividends.

The idea is to create intergenerational wealth.

Te Huia Tāpapa looks for active partnerships and they require board representation in any business they invest in.

Hugh Cotterill from Direct Capital will be fulfilling that role on Te Puia Tāpapa's behalf.

Majury says TR Group is an excellent example of New Zealand-based growth, and their investment will be used to buy back foreign-owned stakes in the business.

TR Group has a long term goal of de-carbonising its truck fleet. At the moment this is impossible due to a lack of suitable vehicles. Majury says TR Group believes hydrogen-cell vehicles will one day be a viable alternative to diesel-powered rigs.