A new private equity (PE) fund has been launched to invest only in small and medium sized seafood companies, with the aim to make the future value chain more sustainable.
Norway-headquartered Bluefront Equity has been set up by partners Kjetil Haga and Simen Landmark, with the intention to develop companies in cooperation with their existing management and owners.
It has already secured the backing of a number of seafood executives. Former CEO of Mowi ASA Alf-Helge Aarskog has joined as an industry adviser and board member, as has Jan Sverre Røsstad, who last year departed his role as the long-standing executive vice president of fish feed producer BioMar.
Both men have also invested into the first fund.
Meanwhile, lawyer and partner at Norwegian law firm BAHR Peter Hammerich has been appointed chairman of the management company.
“We have a team that has built up hugely successful seafood companies and know what it takes to succeed. Together we will identify the suppliers that have the greatest potential to industrialise and professionalise the seafood industry in a sustainable manner,” Haga said.
Commenting on his appointment, Aarskog said contributing to the fund has been an affirming process.
“It is very exciting to be able to contribute towards making a success of the first independent PE-fund that purely focuses on seafood. Cooperating with talented people is both rewarding and interesting. At the same time, I hope that my experience can prove useful. The industry is at an early stage and there are many challenges that need to be solved through better use of technology. Bluefront can contribute towards this,” Aarskog said.
In particular, Bluefront is looking to invest in supplier companies that contribute towards increased traceability, better fish health and welfare, enhanced quality of the end-product, improved hygiene, and the digitization of the seafood industry.
“COVID-19 has demonstrated how vulnerable food producing value chains can be, and we want to help strengthen the seafood value chain. We have also added some ‘spice’ to our investment mandate through some biological exposure, which is natural given Alf Helge’s extensive and unique biological competence,” Landmark said.
The two partners have already raised a significant sum for their first fund, Bluefront Capital I AS. In addition to Aarskog and Røsstad, investors include the Anker family, Klaveness Marine, and the Steensland group.
“We have already conducted a so-called second closing and are quickly homing in on our first investment. However, as a result of substantial interest from investors we will continue fundraising going forward,” Haga said.
Haga and Landmark previously co-founded seafood investor Broodstock Capital but exited the company earlier this year. Broodstock Capital is now controlled by Ferd.
Photo courtesy of Thomas P. Christensen v/JET Story via Bluefront Equity
