Esperson inks strategic partnership with Royal Greenland
As part of a new strategic partnership signed on 14 June, Denmark-based whitefish processor Esperson will purchase Royal Greenland’s processing plant in Koszalin, Poland and will supply the Greenland-based seafood firm with flatfish, whitefish and value-added products.
The agreement and change of ownership will go into effect 1 September, 2017, according to a joint press statement released by the two companies. Terms of the deal were not announced.
“We are very pleased to enter the processing agreement and to pass on ownership of our operations in Poland to Espersen,” Royal Greenland CEO Mikael Thinghuus said. “We have known Espersen for many years, we share the same values and we are convinced that Espersen is the right partner. The products of Koszalin are important to many of our customers and to Royal Greenland, so it has been key for us to find a partner whom we can trust to deliver products at a high level of quality and timeliness and at a reasonable cost.”
Prior to the deal, the two companies were familiar with each other, as Royal Greenland purchased product from Espersen and they both operated plants in Koszalin. Thinghuus said the deal will benefit both parties.
“We believe that Espersen, who is already our neighbor in Koszalin, will be able to move the combined production forward better than we would have been able to on our own to the benefit of both our customers and employees. In addition, we free up resources to further focus on our vertically integrated North Atlantic businesses,” he said. “For Royal Greenland, the partnership allows further focus on and investment in its fishing, processing, sales and marketing of North Atlantic species such as cold-water prawns, snow crab, Greenland halibut and Greenlandic cod.”
The plant Espersen will be buying from Royal Greenland employs approximately 1,000 employees. The press statement said it will continue to operate with its current organization and leadership, and that Royal Greenland continues to purchase and supply raw materials for the Royal Greenland products produced in Koszalin.
For Espersen, “the partnership supports the strategy of offering a full assortment of delicious seafood to international customers,” according to CEO Klaus B. Nielsen.
”We are proud and happy that Royal Greenland trusts us as a strong, strategic partner,” he said. “The partnership means that we now have facilities in place to support our growth strategies in retail and food service. The new capabilities and competences in flatfish processing and value added products enhance and strengthen our position as a leading player in the seafood industry and underline our ambition to be preferred category partner with a full assortment of natural and value-added products.”