Brim makes USD 95 million investment in Greenland seafood company

Published on
July 3, 2020

Reykjavic, Iceland-based fisheries company Brim has invested EUR 85 million (USD 95.4 million) in Arctic Prime Fisheries ApS (APF) in the form of purchasing shares, funding, and ship trading.

The decision to invest in the Greenlandic seafood company was taken at a meeting of Brim’s board of directors on 2 July. It follows the establishment of Brim’s Greenland subsidiary earlier this year and also concludes the discussions with APF that were announced in the second half of last year.

Confirming the move, Brim said that as well as becoming a shareholder in APF, and participating in the company's funding, it will sell APF the newly-built freezing trawler, Ilivileq, that was delivered from the Astilleros Gijon shipyard in Spain last May.

Brim explained that the objective of the investment is to broaden the operational base of the company, strengthen co-operation with APF in the fields of fishing and developing high-tech fish processing, and to utilize its experience with regards to corporate environmental and social responsibility.

With the two neighboring nations sharing fish stocks like capelin, cod, Greenland halibut, red fish, and mackerel, Brim said there would be greater communication and cooperation “to improve the sustainable and responsible harnessing” of the fishing resources.

“We believe it is prudent and will increase the value of Brim to join hands with Greenlanders in making the most of the opportunities in developing the seafood industry in southwest and east Greenland. The know-how and experience of the people in Brim and APF is a perfect platform to increase and strengthen the cooperation in the fisheries sector between these two North Atlantic neighboring nations,” Brim Chairman Kristján Davíðsson said.

Founded in 2006, APF holds fishing rights of around 10,000 metric tons (MT) of groundfish, mainly cod as well as redfish and Greenland halibut, and around 18,000 MT of pelagic fish, mostly mackerel and herring. Until now, the company has operated one freezer trawler and one longliner, and also has four fish processing plants in the towns of Qaqortoq, Narsaq, and Nanortalik in southwest Greenland and Kuummiut in east Greenland.

Employing around 165 people, it is one of the largest privately-owned companies and job providers in southwest Greenland.

Some 214 independent fishermen operating small boats landed their catch to APF in 2019. In total, more than 210 independent fishermen are trading with APF, with 132 from the three towns in southwest Greenland and 82 from Kuummiut.

APF is the only company on the east coast of Greenland to buy fish from independent fishermen.

Greenlandic parties hold the majority of shares in APF. Útgerðarfélag Reykjavíkur hf in Iceland has been a shareholder since 2013 and holds 16.5 percent. Brim will also hold 16.5 percent of the shares.

Contributing Editor reporting from London, UK

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