Clean Seas' share price down slightly after listing on Oslo’s Euronext Growth market
Clean Seas Seafood had its first day of trading on Oslo’s Euronext Growth market on Thursday, 20 May.
The company announced its intention to list on the Euronext market in early May. Its initial share price was NOK 3.65 (USD 0.44, EUR 0.36), but its price had dropped to NOK 3.44 (USD 0.41, EUR 0.34) as of Tuesday, 25 May.
Based in Royal Park, South Australia, Australia, Clean Seas is engaged in full-cycle breeding, farming, processing, and marketing of yellowtail kingfish.
“The company is exposed to important megatrends such as consumer nutrition, sustainable protein production, rising incomes, environmental awareness, and new sustainable food technologies to reduce carbon footprints,” the company said in announcing its listing, under the symbol CSS. “In a concerted drive to reposition and lower the company’s cost base, the ongoing development of new sales channels and markets is expected to deliver long-term growth that will complement Clean Seas’ existing premium food service business as this segment recovers post COVID-19. Clean Seas will be a strong beneficiary of the vaccine rollout globally.”
Clean Seas is also listed on the Australian Securities Exchange. The company struggled with the economic headwinds presented by the COVID-19 pandemic, which led it to pivot to retail sales. In September 2020, its former CEO, David Head, was let go and replaced by Robert Gratton, who had formerly been the company’s chief financial officer.
Ålesund, Norway-based Hofseth Group took a AUD 5 million (USD 3.2 million, EUR 2.9 million) equity investment in the company in April 2019 and has assisted Clean Seas in converting its previously restaurant-focused channels to be compatible with the retail market. In October 2020, Clean Seas announced it would target the U.S. meal-kit market.
Gratton said the Euronext listing has helped the company raise funds and advance its position in the kingfish and retail categories.
“Following this significant capital raise and boost in liquidity, we are now in an excellent position to extend our leading position within the yellowtail kingfish category and take advantage of the momentum we are already showing,” he said. “Being listed in Oslo and in Australia will make it easier for the largest and most sophisticated seafood investor group in the world, based in Norway, to invest in Clean Seas Seafood and participate in the opportunities we see ahead of us. Clean Seas is well-positioned to rebound strongly as the restaurant segment recovers from COVID-19, and as we continue to open new markets and new sales channels with our partnership with Norwegian-based Hofseth International. Leveraging their existing sales relationship gives us a huge option into the growth available from retail and meal-kit companies, particularly in the U.S.”
Photo courtesy of Clean Seas Seafood