The company Statt Torsk chose to merge with, Vesterålen Havbruk, has successfully executed a private placement for between NOK 50 million and NOK 100 million (USD 4.6 million and USD 9.3 million, EUR 4.2 million and EUR 8.5 million), the company announced on the Oslo Børs.
Statt Torsk, a cod farming company based in Stokkeneset, Norway, officially agreed to merge with Vesterålen Havbruk in late September, just one month after it announced a strategic review with the stated goal of finding an industrial partner. The result of the merger, when completed, will be the transfer of all of Statt Torsk’s assets, rights, and obligations to a wholly owned subsidiary of Vesterålen Havbruk named Vesterålen Havbruk Statt.
The boards of directors of the three companies involved in the merger – Statt Torsk, Vesterålen Havbruk, and Vesterålen Havbruk Statt – all finished approving the merger deal on 14 November.
Statt Torsk announced the potential capital raise on 3 November, which it said was to strengthen the company’s financial position and financial measures related to the merger. The two companies then announced they were moving forward with the capital raise via a private placement of shares in Vesterålen Havbruk on 22 November.
That capital raise, the company announced on 24 November, was successful, though it did not clarify how much the private placement achieved in exact monetary terms – only that it met the goal of “between NOK 50 million and NOK 100 million.”
The funds, the company said, will be used to finance the juveniles and on growth for both of the company’s cod production regions in 2024. Statt Torsk announced in August that it was delaying its production to reduce costs after a challenging start to 2023 which Stat Torsk CEO Gustave Brun-Lie called “disappointing.”
Through the merger, Statt Torsk revealed the equity value of the company is roughly NOK 255 million (USD 23.8 million, EUR 21.8 million), while Vesterålen Havbruk has an equity value of NOK 610 million (USD 57 million, EUR 52.2 million).
Statt Torsk said a general meeting of the company will be held “on or about 18 December” to finalize the merger plan, after which the company will be delisted from the Euronext Growth Oslo exchange.
Photo courtesy of Statt Torsk