Canadian company Cooke Inc is acquiring Tassal, Australia’s largest salmon producer, for A$5.23 ($3.67) per share, representing a premium of 49 percent to Tassal’s closing share price on June 22, 2022.
The cash transaction is described by both parties as “a definitive agreement” but it is still subject to the approval of Tassal shareholders, Court approval and other customary closing conditions. It is expected to be completed in late 2022.
Prior to this transaction, Cooke already owned 10.49 percent of Tassal.
“Tassal is an excellent fit with Cooke, as we see many similarities between our two companies. Our people and communities are very comparable as well, with agriculture, fisheries, aquaculture, and forestry prominently supporting export-driven economies,” said Glenn Cooke, CEO of Cooke Inc.
“Our family-owned company is keen to have the opportunity to continue to grow Tassal from the strong base the employees, management and board have created,” added Cooke. “We have demonstrated acquisition history where Cooke has left operations management in place for continuity. We are highly impressed with the quality of Tassal’s infrastructure, people and culture.”
“We understand completely that the Tasmanian fish farming industry is Australia’s most valuable seafood production sector, and our top priority will be to work with other producers and government regulators on continuous environmental improvement plans as well as strengthening supply chain and local community relationships,” states Cooke. “We intend to make strategic investments in engineering, science and technology to further enhance Tassal’s capabilities, in addition to growing their sales reach through leveraging our worldwide seafood distribution channels.”
Mark Ryan, Managing Director and CEO of Tassal, says the transaction will enable Tassal to fast-track its goal “to be one of the world’s most transparent and sustainable protein producers.”