Bakkafrost steps up pursuit of remaining shares in Scottish salmon firm

Published on
January 14, 2020

Faroese salmon farming group Bakkafrost has initiated the compulsory acquisition of the shares that it doesn’t already own in The Scottish Salmon Company PLC (SSC).

According to Bakkafrost, which first moved to acquire SSC in September 2019, these shares represent approximately 4.5 percent of the total number of shares in issue in SSC.

Shareholders will be offered a compensation of NOK 28.25 (USD 3.17, EUR 2.85) per share in the compulsory acquisition. This is the same amount that Bakkafrost paid for SSC shares in its mandatory offer, which closed in December 2019.

The total compensation due from Bakkafrost to the shareholders whose shares are compulsory acquired will be approximately NOK 240 million (USD 27 million, EUR 24.2 million).

Bakkafrost said the compulsory acquisition process is expected to close in week nine of 2020, after which it will have completed the acquisition of all SSC shares.

Edinburgh-based SSC is one of Scotland’s largest salmon producers, with 60 farming sites across the west coast of Scotland and Hebrides. Last year, it harvested 33,800 metric tons (MT) of head-on gutted (HOG) fish, up from 29,900 MT in 2018.

Earlier this month, SSC announced that it had agreed to a GBP 100 million (USD 129.6 million, EUR 116.5 million) refinancing package to help support the business’s growth over the next five years.  

Contributing Editor reporting from London, UK

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