Investment bank Pareto is chasing €48 million for Salmon Evolution

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Announcing new share issue.

The land-based salmon farmer is now jacking up the production target to 70,000 tonnes of salmon in the facilty at Indre Harøy in Hustadvika, Western Norway. In the information material that Pareto’s stockbrokers on Tuesday sent around to their clients, Salmon Evolution is aiming at a production cost of EUR 3.4 per kilo at full production.

At the same time, the expertise of the owners, wellboat companies Sølvtrans and Rostein, the processing company Vikenco and the Korean fishing giant Dongwon are highlighted. The latter also plans the construction of a land-based salmon farm in their home country.

Salmon Evolution is now conducting a private placement of up to 100 million new shares, at a price of NOK 5 per share. This will result in gross proceeds of up to EUR 48 million.

But the amount is not enough to finance the entire first stage of construction for the fish farm at Indre Harøy. It will require EUR 91 million in equity plus debt financing, the sales material states.

Salmon Evolution has already received pre-subscriptions from existing shareholders totalling EUR 8.7 million in the issue.

The next stage for the company will be a listing at Oslo Stock Exchanges’ Merkur Markets, with the first day of trading on 18 September.

Pareto Securities has joined DNB Markets and Sparebank1 Markets in the money hunt which starts on 1 September and ends on 4 September.