Iceland's LAXEY secures €130m in support of next build-out phase

Icelandic land-based salmon farming company LAXEY has announced the successful completion of a €35 million equity private placement and a new long-term financing agreement with Arion Bank. The combined equity and debt financing totals €130 million and will support the continued development of LAXEY’s salmon farming facility in Vestmannaeyjar, Iceland, the company said, citing "strong institutional confidence" in its strategy.

The new capital will fund the build-out of Section 2 of the project, enabling production of 10,000 tonnes of Atlantic salmon annually. The company’s total production target has been increased from 27,000 tonnes to 36,000 tonnes (HOG) per year, following what it describes as "strengthened operational capabilities", including improved efficiencies in the use of equipment and tank space, expansion of infrastructure for grow-out.

The equity portion of the financing was supported by existing shareholders and new investors, including several with experience across the salmon farming value chain. Approximately 20% of shares are held by strategic investors with "deep aquaculture expertise", the company said, with the Sigurjón Óskarsson family remaining the "cornerstone" investor. LAXEY has now raised over €115 million in equity since it was founded in 2019.

“The progress we’ve made so far, including our ability to generate early revenue through post-smolt sales, and the enthusiasm we’re receiving from the investor community, confirm that we are on the right track,” said Lárus Ásgeirsson, Chairman of LAXEY, in a press release.

“This is a clear indication that our long-term vision of a sustainable and financially sound land-based aquaculture is highly relevant to both the Icelandic seafood industry and global markets," he added.

Construction of the project is reported to be progressing according to schedule. The hatchery, completed in August 2024, is fully operational, with five egg batches stocked to date. Section 1 of the grow-out facility is nearing completion, and two smolt batches have already been transferred. The first grow-out tank began operating in April, with the second expected to come online shortly.

Preparations for the processing and harvesting facility are also underway, with the first harvest expected in autumn 2025, the company said. As part of its commercial strategy, LAXEY will also produce and sell post-smolt to third parties.

"This dual-use approach maximizes utilization of tank capacity, accelerates revenue generation ahead of full harvest volumes, and provides greater operational flexibility. By supplying robust post-smolt to other producers, LAXEY plays a strategic role in improving biological outcomes across the value chain - reducing time in sea-based systems, lowering exposure to biological risk, and enhancing predictability and security for farming partners," the company stated.