Austevoll Seafood and Kvefi — which is owned by Kverva, which also owns SalMar — have joined to form a new company to sell pelagic fishmeal, fish oil and consumer products in Europe.
The company — as yet unnamed — will be an “amalgamation of their respective activities.” This includes combining the existing pelagic businesses of Welcon Invest, Norway Pelagic and Egersund Fisk.
As part of the deal, the shares owned by Austevoll in Welcon Invest and Norway Pelagic as of 31 December 2012, will be contributed to the new company, against issue of new shares in the company.
In addition, Austevoll will transfer the remainder of its shares in the mentioned companies, which includes shares acquired in 2013, to the company against cash settlement, with the sales prices being set at cost including transaction costs.
Meanwhile Kvefi will transfer its share sin Egersund Fisk into the company, against settlement in new shares.
As a result of the transaction, the company will be the owner of 100 percent of the shares in Welcon, Norway Pelagic and Egersund.
In order to achieve a 50/50 ownership structure in the company between Austevoll and Kvefi, Kvei will acquire shares in the company from Austevoll for NOK 155 million (USD 26.4 million, EUR 19.8 million).
Welcon produces fishmeal, protein concentrates and fish oil in Norway, U.K. and Ireland. Welcon presently consists of six production facilities for fishmeal and fish oil, and three facilities for production of protein concentrates and oil. In addition, Welcon has a facility in Egersund approved as a border station for importation of protein and oils from third countries with a significant storage capacity.
Norway Pelagic lands, refines and sells pelagic fish for human consumption and has 13 production facilities in Norway and owns 50 percent of a production facility within Shetland.
Egersund is the holding company in a group comprising production of fishmeal and fish oil, and landing, refining and sale of pelagic fish for human consumption. Egersund has a production facility for fishmeal and fish oil in Egersund, Norway, and two production facilities for landing and refining of pelagic fish for human consumption in Egersund and Tromsø respectively. In addition, Egersund has a facility in Skagen, Denmark, for refining. Egersund owns 50 percent of Norsildmel which sells and purchases fishmeal, fish oil, concentrates and related products. Norsildmel is treated as associated company in Egersund's accounts. Egersund is also part owner of two vessels with pelagic quota fishing rights.
Egersund’s Egil Magne Haugstad will become CEO of the new company and the board of directors will have equal representation from both shareholders. The company’s headquarters will be in Bergen.
