Gigante Salmon reports cost increase and replaces its CEO

Gigante Salmon AS has suffered a new cost increase of approximately MNOK 350 for the construction of its fish farm project in Rødøy. Therefore, the total investment is estimated to amount to around MNOK 995, the company confirms in a statement.

This new obstacle in the company's plans is primarily due to longer construction time, including costs for rigging and operation. The expenditure approach is still subject to control, quality assurance, and dialogue with the suppliers.

The company is already seeking new capital that will consist of a combination of equity and debt financing. In October 2023, it secured half of the funds, approximately NOK 100 million, needed to cover the increased construction costs. In the same statement, they also mentioned that they were considering a private placement for the other half.

Kjell Lorentsen, new acting CEO

Considering the elevated expenses announced, Gigante Salmon has finalized the employment agreement with CEO Helge E. W. Albertsen. He will maintain his role as an advisor to the company.

Consequently, Kjell Lorentsen is replacing Albertsen. Lorentsen was the first CEO of the company until September 2021. Also, he occupies the position of Group CEO at Gigante Havbruk AS.