Singapore: a new investment prospect for Australian mining tycoons

Australian mining billionnaires have got enough when it comes to exorbitant Government taxes. Now, they are looking for investment elsewhere.

Mining magnate Gina Rinehart is reportedly bought two condo units worth AU$43.8 million.

Gina Rinehart, owner of Hancock Prospecting Pty. Ltd. and known as the world’s richest woman, set her eyes on property investment in Singapore to avoid higher taxes on capital gains.

Fairfax Media said Rinehart purchased two condominium units costing $S57 million ($43.8 million) in the Seven Palms Sentosa Cove. One unit on the third floor of the four-storey complex costs about $S23.3 million while the top-floor unit fetches up to nearly $S33.9 million.

Mining magnate Gina Rinehart acquires the largest stake at Fairfax media. (Photo: Patrick Hamilton)

Along with Rinehart, coal magnate Nathan Tinkler of Whitehaven Coal Ltd. is also rumoured to have put off his plans for a $13 million beachfront home in Newcastle, New South Wales and “shipped his family off to Singapore.”  Tinkler is said to have bought in the Santosa Cove area as this is the only area on the island nation where foreigners can buy property, Yahoo Singapore reported.

Live Trading News said Tinkler’s Sydney-based public relations firm confirmed the tycoon’s relocation to Singapore to enable Tinkler to be closer to his Asian partners.  Although the main office remains in Brisbane, the Tinkler would allot his time 50 percent overseas, the report added.

According to Brisbane Times, his spokesman, Tim Allerton, said the principal place of residence would now be Singapore. “He just wants to be closer to the markets, to Asia.”  Tinkler’s wife and their four school-age children left Newcastle to join him, Allerton said.

This beachfront property beckons wealthy expat elites. (Photo: SMH)

Located near Tanjong Beach, Seven Palms is a four-storey residential development that features just 41 units. Nearing completion, it is designed by Perth-born architect Kerry Hill. Its website flaunts, “Located on the tranquil eastern coast of Sentosa Island, Sentosa Cove is Singapore’s first and most exclusive marina residential community that offers tropical resort living just minutes from the hustle and bustle of city life in mainland Singapore.”

Property investment speculators claim Singapore is Asia’s new Switzerland– a major financial hub with strict banking secrecy laws– besides it  is increasingly styling itself as an exclusive place to live. Non-Singaporean nationals can purchase properties on a 99-year lease program in the area under strict provisions that the property is owner-occupied and never rented out.

Singapore is the world’s lowest in personal taxes rate with a cap of 20 percent, compared to an atrocious 46.5 percent top tax rate in Australia.

Sentosa Cove to match a luxury lifestyle (Photo: SMH)

Whether facing the majestic South China Sea, the spectacular verdant fairways of the Tanjong golf course, or the calm serenity of the waterways, each generously-portioned land parcel represents a blank canvas upon which to design and build your dream residence.

Come and be among the discerning few to experience the epitome of luxury resort living at Sentosa Cove, Singapore’s most exclusive real estate.

Nathan Tinkler of Whitehaven Coal Ltd has moved to Singapore from Brisbane with wife and family. (Photo: Live Trading News)


Australia’s new Fairfax media to promote mining agenda?

Following Gina Rinehart’s massive share buy outs last week, Fairfax announced its long-overdue plan to go digital via paid subscription— scrapping outdated print versions of Australia’s major broadsheets, namely the Sydney Morning Herald and The Age.

Mining billionaire Gina Rinehart is now one of Australia’s most powerful women (Photo: AAP)

The media company is set to shut down the printing presses of the two papers located in Chullora in Sydney’s south-west and Tullamarine in north-west Melbourne, respectively, the ABC reported.

About 1,900 jobs have to go in the next three years shocking workers at the presses.

Andrew Jaspan, former editor-in-chief of The Age and a current editor of The Conversation, also said about about 20 percent of the editorial staff, about 150- 200, are also poised to lost their jobs. He added that the media company can still produce a “premium print” edition using a few journalists.

He said the media company has been mismanaged by people who do not have direct experience in the media industry.

Fairfax announced massive job cuts (Photo: Julian Smith)

The print editions, he said, are outdated formats invented 155 years ago noting that the Internet has radically changed the nature and the way news are distributed. He said “rivers of gold” generated by advertising have been dried up.

One by one Fairfax was stripped of its classified advertising “rivers of gold”. The jobs went to, Cars to, homes to

He proposed the digitalisation of Fairfax way back in 2007 when the company’s market value was $5 billion. After five years, the value dipped to as low as $1 billion. The shareprices also collapsed from $5 per share to 60 cents which predators like Rinehart has taken advantage of, he added.

The former Fairfax editor said Rinehart will not run the media like an investor but instead she will use the media to sway public opinion.

Back in 2010 she and her fellow mining barons spent $22m to get rid of Kevin Rudd’s proposed mining tax….. And so successful was the campaign that they got rid of Rudd and saved themselves an estimated $20bn in taxes.

Rinehart’s appointment of Australia’s leading climate change sceptic, Ian Plimer, as an advisor to her mining companies is simply a taste of what’s to come. As one senior Fairfax editor remarked, expect this kind of front page once Rinehart gets control. “Exclusive: Climate Change is a Hoax”.

Activists group, GetUp, tell supporters to exposed the “truth” behind Rinehart’s Fairfax raid. (Photo: GetUp)

Rinehart grabbed nearly 19 percent of the total shareholding of Fairfax Media in two separate buy outs last week. Her company, Hancock Prospecting ,confirmed she has increased her stake at the company from 13 percent, a status which already made her the majority shareholder. She cannot hold more than 20 percent unless she bid for a takeover as stipulated under Corporations Act, the ABC said.

Related article here.

Blog Link: Asian Correspondent