Norwegian frozen and chilled seafood producer Domstein ASA has bought Fram Foods’ caviar and pelagic processing facility in Sweden for EUR 500,000 (USD 648,050), the company announced today.
Iceland’s Fram Foods subsidiary operates on the west coast of Sweden in Lysekil, where Domstein also has a production facility. Domstein is not buying the Fram Foods buildings — Fram Foods is expected to sell them, and Domstein will then rent them from the new owners, in an effort to prevent an increase in long-term debt for Domstein. According to Domstein’s release, the company expects to make a yearly profit of NOK 10 million (USD 1.8 million, EUR 1.4 million) once they are integrated.
“The acquisition considerably strengthens our position in the Nordic chilled seafood market, said Domstein CEO Rolf Domstein.
