Observe has developed and marketed artificial intelligence (AI) feeding solutions to more than 100 farm sites globally.
Aquaculture technology group AKVA Group has announced the acquisition of 100% ownership in Observe Technologies Limited, aiming to bolster and complement its digital capabilities.
Observe, in partnership with AKVA, has developed and marketed artificial intelligence (AI) feeding solutions to over 100 farm sites globally. These AI technologies have demonstrated a reduction in feed conversion ratios by automating the feed process.
The software solution uses artificial intelligence (AI) to analyse in real time the onsite data and video streams on the site. The software counts visible pellets and also completes a detailed analysis of the fish behaviour that when used together identify risk situations and assist the operator in the optimisation of the feeding.
Knut Nesse, CEO of AKVA, stated, “The acquisition of 100% shares in Observe is of great strategic importance to AKVA and will further develop and complement our digital offerings to the market. AKVA now offers four digital products to the market: i) AKVA Fishtalk, ii) AKVA Observe, iii) AKVA Connect, and iv) AKVA Submerged. By combining these products, we now offer a complete digital solution to enhance precision fish farming.”
Hemang Rishi and Pieter Fabry, CEO and CTO of Observe Technologies, added, “This is a unique opportunity to be a key offering in AKVA’s precision farming solution while giving us the operational flexibility to continue to develop the business. We firmly believe AKVA’s approach, combined with operational gains we have already provided, will drive the industry towards even more sustainable outcomes.”
Prior to the acquisition, AKVA owned 33.69% of the shares in Observe. Following the transaction, AKVA will be the sole shareholder, acquiring the remaining 66.31% for a minimum purchase price of £13.7 million ($17.5 million/€15.9 million), partially settled in cash and partially via a seller’s credit to be paid over the next three years. An additional earn-out consideration up to a maximum total purchase price of GBP 20.5 million ($26.2 million/€23.0 million) may be paid if certain conditions are met. The cash amount paid at closing was financed using options under AKVA’s existing bank financing.
