Fish Farmer July 2021

United Kingdom News

NEWS...

Scottish Sea Farms nets Grieg’s Shetland assets in the past, which it has largely managed to sustainable and profitable growth.” overcome. The business is now reporting lower lice levels and improved survival rates.

SSF CEO Jim GallaghSalMar said the acquisition should improve er said: “As farmers, we these issues as a result of increased biologiare constantly striving to cal control and the realisation of integration create the best growing synergies between the two companies. conditions for our salmon.

Grieg Seafood’s CEO Andreas Kvame said The purchase of Grieg he was pleased to have finally landed an Seafood Hjaltland UK is agreement on the sale of the business which a landmark step in our he believed would be in good hands with SSF. long-term strategy, giving Grieg’s shares surged by almost 9% on the us greater influence over news in Oslo yesterday, but later settled back several key biological factors including fish health, to a rise of around 5%. However, they could go higher in the next few days. stocking regimes and sea The proceeds from the sale should help to lice management. stabilise what has been a difficult financial “We’re very much situation for Grieg recently. It now intends looking forward to pairing to focus on its Norwegian and Canadian the skill and know-how operations. of our existing farming But caution remains the watchword as the and fish health teams with deal is likely to face scrutiny from the compethe local expertise within SCOTTISH Sea Farms is to become the new tition authorities before anything is signed.

Grieg Seafood Hjaltland owner of Grieg Seafood’s Shetland operations, UK, working as one to benefit fish welfare and it has been confirmed. boost survival. This, in turn, will ensure a more The sale is worth NOK 1.9bn or £164m, secure and stable supply of salmon for our appreciably higher than the £140m figure discerning customers the world over, helping Left: Gustav Witzøe predicted earlier in the year. satisfy the insatiable demand for this highly Below: Jim Gallagher The news will be seen as a tremendous lift nutritious, low carbon food.” for the 200 or so people who work for Grieg With operations on Shetland and the Isle of on Shetland (known as Grieg Seafood HjaltSkye, Grieg Seafood Hjaltland UK currently land UK) following all the speculation around operates 21 marine farms, a freshwater a potential sale. hatchery and a processing facility, It is also a huge vote of confidence in Scotharvesting approximately 16,000 land’s position as one of the world’s leading tonnes of Atlantic salmon in salmon farming countries, and the deal will 2020. make Scottish Sea Farms (SSF) the second This complements the largest salmon farmer in the region. geography and nature of An announcement said Scottish Sea Farms Scottish Sea Farms’ own Ltd (SSF), which is 50-50 owned by Lerøy operations which are Seafood Group and SalMar, has signed an located across mainland agreement to buy 100% of the shares in Grieg Scotland, Shetland and Seafood Hjaltland UK Ltd. from Grieg Seafood. Orkney and produced The acquisition will be financed with new approximately 24,000 equity from the owners and from debt, and tonnes of Atlantic salmit is expected to be completed by the end of on in 2020. the fourth quarter of this year, subject to apThe move gives SSF proval by the relevant authorities and normal a harvest potential of conditions. just under 50,000 tonnes, SalMar CEO Gustav Witzøe, who hinted to only just behind Mowi, the Fish Farmer a few weeks ago that something UK’s largest salmon farmer at was in the air, said: “Through the acquisition, 52,000 tonnes.

SSF strengthens its presence in the region, It is no secret that Grieg Shetland which provides fertile ground for further has suffered serious biological problems

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12/07/2021 14:54:56