Nordic Aquafarms’ RAS supplier goes bankrupt

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Inter Aqua Advance bankruptcy may have consequences for Nordic Aquafarms.

Nordic Aquafarms entered into a long-term strategic agreement with the Danish Inter Aqua Advance in April. However Inter Aqua Advance is now in bankruptcy proceedings in Aarhus, Denmark after a request was received on 29 August.

Confirms bankruptcy

Nordic Aqua farms build land-based industrial fish farms and in April, the company announced that they had entered into an agreement with Inter Aqua Advance to develop, design and supply large recirculating plants in Norway and the United States. Nordic Aquafarms is currently building land-based facilities in both Fredrikstad and as well as a proposed $150-million salmon factory farm in Belfast, Maine in the United States.

The RAS supplier has also been involved in Grieg Seafood’s new grow-out expansion plant in Finnmark, northern Norway.

“We received the notification of bankruptcy just before the weekend,” said Grieg Seafood CEO, Andreas Kvame, to iFinnmark.

He said that the company will not lose any money because of the bankruptcy.

“For our part, the work has come so far in Landersfjord that it does not matter to us. We implement Plan B, and I expect that we can complete the construction using local labour.

However, according to the same newspaper, a number of subcontractors fear that they will lose money on bankruptcy.

Profit over the last three years
Inter Aqua Advance achieved a profit before tax of 3.9 million Danish kroner in 2017, and has delivered surplus in the last three years.

At year-end, the company had a book equity of close to DKK 6 million (EUR 804 thousand) and a total debt of DKK 37 million (EUR 5 million).

First in the world to deliver RAS
Inter Aqua Advance was established in 1978. It was the first in the world to develop and deliver RAS, according to the company’s website.

SalmonBusiness has attempted to contact CEO of Nordic Aquafarm, Erik Heim, without success. Neither has Inter Aqua Advance responded to our inquiry.

Erik Heim in April explained why he chose Inter Aqua Advance as its supplier:

“We have wanted to cooperate with a competitive RAS partner who can meet needs over the next few years.