Ice Fish Farm will be listed on its own.
Ice Fish Farm is contemplating a private placement comprising of an offer of new shares raising gross proceeds of approximately EUR 27.4 million and a sale of existing shares from minority shareholders in the company of approximately EUR 8.1 million.
The net proceeds from the share issue will primarily be used to invest in the value chain in order to contribute to further production growth within existing licenses. This includes the expansion of smolt capacity, new equipment and investments in biomass. In addition, parts of the net proceeds will be used to repay two outstanding convertible loans to Midt-Norsk Havbruk for a total of around EUR 5.4 million, NTS wrote in an Oslo Stock Exchange bulletin on Tuesday morning.
EUR 138 million
The company will not receive any proceeds from shares sold through the sale.
The price of the transaction is set at NOK 33.50 per share, corresponding to an equity value of the company before the issue of EUR 138 million based on 45,000,000 shares outstanding in the company before the transaction.
The company’s largest shareholder, Midt-Norsk Havbruk, has pre-committed to apply for and acquire shares for a total amount of up to for up to EUR 6.4 million in the transaction. In addition, two so-called “cornerstone investors”, have, subject to certain conditions, undertaken to subscribe for and be allocated shares as follows: (i) DNB Kapitalforvaltning AS has committed to subscribe for shares for EUR 9.1 million and be awarded shares for a minimum of EUR 7.3 million; (ii) Swedbank Robur Fonder has committed to subscribe and be allocated shares for EUR 3.6 million.
Listed on Merkur Market
The bookbuilding period for the transaction will start today, May 26.
Ice Fish Farm has applied for and, subject to the successful completion of the transaction and the necessary permits from the Oslo Stock Exchange, will list the company’s shares on Merkur Market. The first day the shares can be traded on Merkur Market is expected to be on or around Monday, June 8th.
Ice Fish Farm harvested 4,007 tonnes of salmon in 2019, achieving EBIT/kg of EUR 1.5. By 2020, a harvest volume of 6,800 tonnes is expected.
The aquaculture company expects significant growth in harvest volumes in the future, as Ice Fish Farm currently has licenses for the production of 20,800 tonnes of salmon distributed in two fjords and five locations (of which 12,000 tonnes fertile and 8,800 tonnes sterile) in addition to applications for additional 16,800 tonnes. tonnes (6,500 tonnes fertile and 10,300 tonnes sterile) in two other fjords under consideration by relevant authorities.
ABG Sundal Collier and DNB Markets are engaged as financial advisors for Ice Fish Farm and facilitators in connection with the private placement and listing.