Koramba Cotton Farm and Gin for Sale
04 April 2016
Dean Phillips, the American owner, and his various companies have decided to sell Koramba cotton farm and gin assets. It is one of Australia’s largest integrated irrigation and dryland cropping enterprises.
BDO Executive Director Corporate Finance Margaux Beauchamp said the sale of the Border Rivers’ property Koramba was significant for the industry as its owners were key pioneers of cotton cropping in this country.
“Koramba’s owners are among the Americans credited with the establishment of Australia’s modern cotton industry,” Ms Beauchamp said.
“Without American knowledge, expertise and capital Australia probably wouldn’t have experienced the rapid development of the cotton industry like it has. The American legacy has also established a very positive can-do industry culture that has resulted in the Australian cotton industry achieving productivity gains in excess of 6% per annum.
“The cotton industry has helped develop not only the land and water infrastructure but also farming communities including housing, health services, engineering services, retail, public works and schools.”
“Indeed Cotton has fuelled the prosperity of diverse and dynamic regional Australian communities.”
“As a tradeable commodity, cotton has become an Australian industry of international significance and a major contributor to the economy.”
Dean Phillips and his various companies, bought the property in 1985—at a time when that land was used only for grazing—and converted it into a large irrigation and cropping farm. In 1992 they took the bold step of establishing a vertically integrated business with the construction of a 4 stand cotton gin.
“Mr Phillips started irrigation farming in that region,” Ms Beauchamp said.
It is expected Koramba could sell for more than $120 million with non-binding bids due mid-May.
BDO is advising Dean Phillips on the sale.
- Comprises four adjoining properties totalling 14,166 hectares of farm land
- 5,400 hectares of developed flood irrigation land
- 971 hectares of dryland cropping land
- 7,795 hectares of grazing, irrigation storage and service land
- Water licences total 31,105 megalitres
- Cotton gin has a processing capacity of 140,000 bales per season