Deal is part of aim to fulfill strong demand in North American market.
In a press release on Monday, the salmon processing company Milarex writes that it acquired San Diego, California-based specialty seafood company ULTCO.
ULTCO and Milarex have been business partners for several years. The transaction closed with both parties agreeing not to disclose the terms of the deal.
“The market for salmon in the US is fast-growing, with specific emphasis on convenient, value-added, and sustainable products. As business partners for several years, ULTCO and Milarex gradually expanded the scope of their partnership, with new product launches at several important retail and foodservice chains,” wrote Milarex.
Milarex CEO Thomas Farstad said he was “delighted to welcome” ULTCO to its international seafood team.
“ULTCO and Milarex are complementary companies, and by coming together I am convinced we can improve our total service to the market and better fulfill the strong demand in the North American market,” he said.
“ULTCO provides an appealing opportunity to continue the remarkable growth story Milarex has experienced since its start in 2016. The prospects for safe, convenient, and quality products in North America are attractive and we expect to realize significant further growth in the years ahead. Through this transaction, we are transforming Milarex from a European player into a global company, while increasing net sales of the combination to EUR 300 million,” added Farstad.
Under Milarex ownership, ULTCO will continue to grow and market new products as an importer and distributor of seafood to North America. Milarex will sell its products through ULTCO, and ULTCO will continue working with its existing partners to complement the product range.
The companies expect the acquisition to “strengthen product development and reduce time to market while continuing to offer superior customer service”. The ULTCO co-founders will remain at the helm under Milarex ownership.
“Milarex’s disruptive processing technologies and product innovation capabilities have enabled ULTCO to expand our offerings in recent years,” said ULTCO co-founder Mike Fairman.