Merinos are set to stay on Western Australia’s Rawlinna Station after proposed sale process is concluded.

LEADING Australian agribusiness Consolidated Pastoral Company is set to add wool to its production mix with the proposed purchase of Australia’s largest sheep station Rawlinna.

Elders Ltd today confirmed that Jumbuck Pastoral and CPC have entered into a sale and purchase agreement in relation to Rawlinna Station in Western Australia.

Elders said the agreement is conditional upon CPC receiving Foreign Investment Review Board approval for the acquisition of the station, and the customary Western Australia government approval to the transfer of the pastoral lease. The sale is otherwise unconditional.

Rawlinna has been sold on a going concern “walk in walk” out basis, including the sheep flock. All current employees will be offered ongoing roles with CPC. No sale price will be disclosed, Elders said.

In May 2023, Andrew Forrest’s Fortescue Metals Group was named as the buyer of Rawlinna Station, but the pastoral lease returned to the market after the group walked away from the sale. In November last year the property was reoffered to the market in an expressions of interest process.

Merino sheep to stay on Rawlinna Station

CPC chief executive officer Troy Setter said the company had no intention of converting Rawlinna Station away from Merino sheep production.

“We will aim to build on the legacy of Jumbuck Pastoral by further developing Rawlinna to increase its sheep and wool production capacity in the years to come,” he said.

“We are excited with the acquisition of Rawlinna that will see CPC return to large scale sheep and wool production.

“Our owners, the Hands family, have held significant sheep production properties in the UK and we believe now is a good time to invest in Australia’s sheep and wool industry,” Mr Setter said.

“Rawlinna represents an opportunity for us to re-enter the Australian sheep production space at scale and accelerate our ambition of building out a quality diversified portfolio by both geography and production type.

“We now have assets in cattle, goat, sheep and wool production, natural capital and over 20,000 hectares of cropping capacity.”

Jumbuck is happy its CPC

Jumbuck Pastoral principal Jock MacLachlan Rawlinna Station occupies an important space in our family’s history.

“We are delighted that it will be passed to a custodian the calibre of CPC, with a strong record of sustained investment in our industry and whose owner takes a multi-generational view.

“We look forward to seeing CPC invest in the next stage of Rawlinna’s development and the career opportunities that will be provided to the Rawlinna management team,” he said.

Mr Hugh MacLachlan first placed a survey peg in the ground during the 1960’s and through meticulous planning and substantial investment, Rawlinna Station was established. Elders said it is now the largest sheep station in Australia, occupying 1,046,323 hectares and is widely regarded as an excellent example of planning and land management. It reportedly has a carrying capacity of 70,000 sheep and has shorn more than 30,000 sheep in recent years.

The property features a renowned boundary exclusion fence that spans some 400 kms in length.

Elders executive general manager Tom Russo, said the sale process drew significant interest from the market, including large sheep production enterprises from the east and west coasts, new entrants and international investors.

“It was excellent to see the confidence in the industry.”

CPC’s long history in Australian agriculture dates back to 1879. In October 2020, the UK based Hands Family Office purchased 100 percent of CPC. Since then, CPC has continued to grow its portfolio, overseen by its Australian and Indonesian management team headed by Mr Setter.

CPC owns and operates a portfolio of nine station aggregations in Australia and two feedlots in Indonesia. Across more than 3.2m hectares of land, the CPC team can care for more than 300,000 head of cattle, 45,000 goats and produce a diverse range of crops. With an asset base in excess of AUD$1.2 billion, CPC supplies a variety of domestic and international customers. CPC owns the iconic Isis Downs Station that was one of Australia’s largest sheep stations and today runs 31,000 cattle and 45,000 goats.

Jumbuck Pastoral was established in 1888 and is one of the largest livestock production enterprises in Australia. Established in 1888, it is a family owned company with vast land holdings throughout the country. Elders said Jumbuck Pastoral will continue to own a substantial portfolio of sheep and cattle stations throughout Australia to remain one of the largest cattle and sheep producers in the nation.

Mr Russo said the portfolio of agricultural assets that has been acquired by Jumbuck over many years of sustained investment is truly extraordinary.

“Whilst the divestment of Rawlinna constitutes a significant sale, in the context of their overall portfolio, this is merely a refinement to better align the asset base with Jumbuck’s strategy moving into the future.

“Jumbuck’s intention is to continue to invest in the improvement and growth of their proudly Australian family owned agricultural enterprise,” he said.