Norway Royal Salmon (NRS) announced its latest private placement of new shares, intended to finance part of its acquisition of SalmoNor AS, was successful.
On 30 March, 2022, NRS announced it was contemplating a private placement of new company shares in order to raise NOK 1.9 billion (USD 219.3 million, EUR 197 million). In a filing made on the Oslo Stock Exchange on 31 March, NRS’s Board of Directors confirmed that it allocated 9,340,693 offer shares in the private placement at a subscription price of NOK 202 (USD 23.31, EUR 20.94) per share, thereby achieving its target amount.
It also stated that it attracted significant interest from both existing shareholders, as well as new Nordic and international institutional investors.
NRS intends to use the proceeds to finance the cash consideration element of its contemplated acquisition of SalmoNor AS from NTS ASA, where the agreed-upon purchase price will be financed through 68.14 percent consideration shares in NRS and 31.86 percent cash.
The filing explains that completion of the private placement is still subject to both a company extraordinary general meeting (EGM) resolution to increase the share capital of the company, and an agreement with NTS to acquire all the shares in SalmoNor not yet owned by NTS before the EGM, which is scheduled for 7 April, 2022.
ABG Sundal Collier acted as sole manager and bookrunner in connection with the private placement.
NRS group currently owns 36,085 metric tons (MT) maximum-allowed biomass for salmon farming in Troms and Finnmark, Norway, and 21,800 MT MAB for salmon farming and 5,300 MT MAB for trout farming in Iceland through its subsidiary Arctic Fish.
In addition, it has minority interests in two associated Norwegian fish farming companies which together own nine fish-farming licenses.
Photo courtesy of Norway Royal Salmon
