South Africa-based Oceana Group has announced it is purchasing American fishmeal and fish oil company Daybrook Fisheries for approximately ZAR 4.6 billion (USD 382.3 million, EUR 341.9 million).
Oceana, in a statement, said it would be acquiring Daybrook, based in Empire, La., USA, “indirectly by combination of a merger and stock purchase.”
Daybrook, which was established in 1955, harvests menhaden from the Gulf of Mexico and processes it into fishmeal and fish oil. The company collects between 35 and 40 percent of the annual menhaden catch in the Gulf, and generated revenues in 2014 totaling over USD 100 million (EUR 89.4 million). Daybrook consists of three subsidiaries: Daybrook Holdings, Daybrook Investors and Daybrook Fisheries. Oceana said all three will become subsidiaries of Oceana after the acquisition.
Oceana said the acquisition is based on an estimated growing demand for fishmeal, and a desire to expand the company’s current product offerings.
“The proposed acquisition represents an opportunity for Oceana to undertake a truly transformative transaction and acquire access to a sustainable and well-managed fishing resource,” the company wrote.
The acquisition is subject to approval by shareholders in both Oceana and Daybook, and government regulators have not signed off yet either. As to staffing, Oceana said a condition of the acquisition was “each key employee of Daybrook Fisheries accepting an offer of employment.”
