‘Covid has given us the opportunity to put steps in place to introduce a new strategic plan for Aquis’
McGrath promises strong sales presence as staff cut as a result of operational shake-up
One of the biggest investors in world thoroughbred racing and breeding in recent years, the Hong Kong-owned Aquis Farm, will undertake a major restructure of its huge Australian operation, leaving a cloud hanging over its three-state stallion roster heading into the new year.
Members of the Aquis nominations team Jimmy Unwala, Bernie Kane and Nick Taylor were told on Monday that they were no longer required, while some marketing staff were also made redundant as part of the staged restructure which has been occurring behind the scenes in recent months.
Owned by Hong Kong billionaire Tony Fung and his family, Aquis has been a major player in Australian racing since it acquired the former Nathan Tinkler-owned parcel of properties at Canungra in the Gold Coast hinterland in early 2015.
The property tycoon, whose investment vehicle Aquis Group also owns the Canberra Casino, arguably enjoyed his finest moment in racing earlier this year when Farnan (Not A Single Doubt) won the Golden Slipper (Gr 1, 1200m) and sent his stallion value soaring alongside a horde of Aquis-owned colts made their mark on the racetrack in a remarkable run of success.
While Farnan was the headline, Aquis also unearthed Prague (Redoute’s Choice), Holyfield (I Am Invincible) and Global Quest (More Than Ready) and, more recently, Anders (Not A Single Doubt) and Mo’unga (Savabeel).
The emergence of the valuable group, the envy of many colts syndicates, also coincided with Aquis’ continued expansion into stallions, with its Canungra farm growing to include a Hunter Valley base in 2017, and at Seymour in Victoria last year.
Aquis had 18 stallions under management across three states this year.
Shane McGrath, Aquis’ managing director, yesterday said the onset of Covid-19 this year gave the operation’s decision makers time to consider the future for the business.
“With Covid, it has given us the opportunity to put steps in place to introduce a new strategic plan for Aquis. We have elected to change the way that we are doing business and there will be a lot more in the future,” McGrath said.
“Across most industries, people have had time to reflect and review and we’re going to try to be a little bit more innovative in how we do business and we’ll implement new things.
“There will be more changes in store over the next six to 12 months as we implement our new strategy.”
Since entering the market, Aquis has invested enormous amounts of money on bloodstock, amassing a broodmare band of more than 200 as well as yearlings and stallions in both hemispheres.
Aquis has either outright, or in partnership, spent more than $110 million on horse flesh at public auction alone, and this year some of that investment has paid off, with Farnan’s win in the Slipper skyrocketing his value to around the $40 million mark.
While McGrath would not be drawn on the future of the stallion business, he indicated that Aquis would again be active at next year’s yearling sales, particularly in support of stock by its stallions.
He said: “I am looking around at Magic Millions yearlings at the moment now that the breeding season is slowing down.
“We have had a great season across the board with support from the breeders and shareholders and we look forward to supporting those same people in the sales ring where possible.
“We have had a phenomenal year on the racetrack and the push is to try and find the next Golden Slipper winner.”
The first public sign Aquis Farm was embarking on a dramatic change in direction emerged in early July when it was revealed that its NSW stallion roster and broodmare band would relocate from Emirates Park in the Hunter Valley to Gooree Park Stud in the central west of the state.
Before the start of the breeding season, Aquis instead used Lincoln Farm at Blandford to stand its NSW stallion roster in order to remain closer to the majority of the mare pool, which is located in the Hunter Valley.
In early August, Aquis and partner Phoenix Thoroughbreds also sold a majority share and standing rights in prized new-season three-year-old Farnan to Kia Ora Stud, arguably the most valuable colt of his generation.
Subsequently, Aquis continued the selling off of its colts portfolio, with Prague sold outright to Kia Ora Stud, and sold down its interest in Anders to Widden Stud, while Tony “Tubba” Williams, who oversaw the breeding arm of the business, suddenly left his role as chief executive after less than nine months in the position.
Fung’s contribution to the Australian thoroughbred industry since 2015 has been immense after quickly building his racing and broodmare numbers, which were fast-tracked with the assistance of agent Julian Blaxland, particularly in 2016 and 2017, which coincided with the stallion operation at Canungra with four foundation sires.
Aquis then entered into an agreement with Emirates Park in 2017 to establish a Hunter Valley presence before the deal was ended mutually last July,
It remains unclear whether Aquis will retain its leased stallion property near Seymour in Victoria, a farm which is owned by prominent owner and breeder Darren Thomas, and was taken on to stand stallions last year.
This year, Lean Mean Machine (Zoustar), the relocated Needs Further (Encosta De Lago) and Royal Meeting (Invincible Spirit) headed up Aquis’ Victorian roster.
In NSW, high-class Group 1-winning sprinter Pierata (Pierro) – almost certainly Aquis’ best-credentialled stallion to stand under its banner – entered his first year at stud this year while Caulfield Guineas (Gr 1, 1600m) winner Divine Prophet (Choisir) has started to have his first two-year-olds hit the track this season.
The Japanese-bred, Australian-raced Group 1-winning sprinter Brave Smash (Tosen Phantom), has also created interest on Aquis’ Hunter Valley roster with his first foals born this year.
Newcomer Dubious (Not A Single Doubt), another colt raced by Aquis after being purchased as a yearling, heads up its Queensland stallion roster this year after winning the ATC Breeders’ Plate (Gr 3, 1000m) and BRC Champagne Classic (Gr 2, 1200m) at two.
Aquis Farm timeline
2015
January: Tony Fung buys the four Canungra properties, once known as Wadham Park, Elysian Fields, Sarahvale and Benobble, from Patinack Farm’s Nathan Tinkler and rebranded as Aquis Farm.
2016
May 27: With significant investment in the Aquis Farm base at Canungra, it stands four stallions at stud for the first time: Spill The Beans, Holy Roman Emperor, Domesday and Benfica.
2017
April 21: Aquis forms a joint venture with Emirates Park at Murrurundi to create a Hunter Valley stud presence where Caulfield Guineas winner Divine Prophet becomes its flagship stallion. Invader, a colt part-owned by Aquis in conjunction with the China Horse Club-Newgate Farm partnership, wins the ATC Sires’ Produce Stakes and later joins Aquis stallion roster, starting in 2018.
May 10: Aquis secures the Hawkes Racing-trained Caulfield Guineas winner Divine Prophet to spearhead its Hunter Valley roster.
May 21: Shane McGrath leaves Coolmore to become deputy chief executive to Justin Fung at Aquis Farm. He is later appointed as managing director and plays a key role in the section of yearlings including Farnan.
June 20: Jimmy Unwala joins Aquis as head of nominations for NSW after a long stint at Darley.
2018
July 2: Aquis launches a $1 million prize pool for breeders who back its Group 1-winning Queensland-based first season stallion The Mission if his progeny go on to make an impact as juveniles on the racetrack.
August 27: Aquis acquires young sprinter Jukebox for stallion duties on the eve of the breeding season.
2019
May 3: Aquis leases Seymour property to allow the expansion of the stud business into Victoria, with Siege Of Quebec and Lean Mean Machine as its first stallions on the roster.
October 4: Aquis acquires a controlling interest in the Greg Hickman-trained Group 1-winning sprinter Pierata.
October 13: It is announced that Tony “Tubba” Williams will return from the UK to become Aquis CEO overseeing the stud side of the business.
2020
March 21: Farnan wins the Golden Slipper in a season in which Aquis-owned colts such as Prague, Holyfield and Global Quest all win stakes races.
July 6: Aquis announces it will move its NSW stallion operation from Emirates Park at Murrurundi to Gooree Park Stud at Mudgee.
July 9: Backed by Aquis, Annabel Neasham, previously Ciaron Maher and David Eustace’s Sydney stable foreperson, takes out her own trainer’s licence at Warwick Farm and has immediate success.
July 30: Aquis’ NSW stallions relocate from Gooree to Lincoln Farm in order to remain in the Hunter Valley.
August 4: Aquis and Phoenix Thoroughbreds sell a majority share in Farnan to Kia Ora who will stand the colt at stud when he is retired.
August 27: Aquis and Phoenix also sell Group 2-winning, Group 1-placed colt Prague outright to Kia Ora Stud.
September 16: Widden buys Aquis-owned sprinter Anders.
September 18: Tony “Tubba” Williams leaves Aquis Farm.
November 30: Aquis nominations and NSW stud staff informed that they would no longer be required.
December 3
Aquis embarks on a new strategic plan for the extensive business as a result of Covid-19 and its on-track success.