The two Alaskan giants unite on their wild salmon operations and Gulf of Alaska groundfish operations. The new company will be named OBI Seafoods LLC.
“The Alaska salmon business is experiencing significant market and resource fluctuations. In order to flourish in this rapidly changing environment, we need to develop flexible and efficient business models and form innovative partnerships,” said Mark Palmer, President and CEO of Ocean Beauty Seafoods, who will serve as CEO of the newly merged company, in a press release Monday.
The merger will take effect on June 1, in line with the 2020 wild Alaska salmon season.
Icicle Seafood has since 2016 been owned by Cooke Aquaculture.
The companies believe the merger will make their market share globally stronger.
“The merger will enable more focus on selling seafood products in the global marketplace by leveraging both strong sales teams. Increased sales will bring additional investment to support growth and jobs,” he added.
The contract will make a new room for new strategic investments to compete in the world market, and benefit the Alaskan seafood industry.
In the merger, all five Icicle shoreside plants and all five Ocean Beauty shoreside plants in Alaska are included.
Ocean Beauty Seafoods’ smoked salmon and distribution operations will remain under its current ownership and will operate under the name OBS Smoked & Distribution, LLC.