DESS sale can yield healthy Mowi dividend

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Fearnley Securities expects a dividend of EUR 77 million in the first quarter of the year.

Just before Christmas, Mowi sold its 50 per-cent stake in the wellboat company DESS Aquaculture Shipping. The buyer was Sølvtrans’ owner Antin Infrastructure Partners. The agreed price was EUR 115 million.

The investment bank believes this cash consideration, which is transferred in the first quarter of the year, will result in lower interest-bearing debt and create an opportunity to take up quarterly dividends in 2021. Fearnley expects a dividend of NOK 1.50 per share for the first quarter, reports TDN Direkt.

Fearnley estimated an operating profit of EUR 79 million, of a harvest volume of 128,800 tonnes in the fourth quarter.

The investment bank raised the price target on Mowi to NOK 210, from the previous NOK 168, and repeated the HOLD recommendation.

On Tuesday morning, Mowi shares were trading at NOK 191.