Proximar Seafood has reported its second-quarter production update, alongside the launch of a refinancing plan, including a rights issue and private placement, as well as refinancing of the company's debt capital.
The Norwegian land-based salmon farming company, which operates its RAS facility in Oyama, Japan, recorded a standing biomass of 1,294 metric tonnes at the end of Q2 2025, up from 1,126 tonnes in Q1.
The company underwent a setback in May, when around 170,000 fish died due to an incident which resulted in oxygen levels of two tanks falling below critical levels. This followed an earlier incident in November 2024, when a breach occurred in one of the facility’s biofilter supports. In its latest update, the company said all the necessary repairs have been completed, and the facility has returned to full capacity.
Proximar reports that its gross biomass growth during the quarter was 695 tonnes, or 554 tonnes after accounting for losses linked to the May mortality incident. The company harvested 321 tonnes of salmon (HOG) during the quarter, bringing its first-half total for 2025 to 643 tonnes - a lower-than-anticipated harvest volume which it attributes to a combination of delayed harvests and smaller-than-expected fish size in June.
The average net selling price for the quarter stood at NOK 70 per kilogram, with fish over 3 kg achieving NOK 107/kg. However, the company noted that much of the harvest was below the 3 kg threshold, which impacted average prices. The average weight of fish harvested in the period was around 2.3 kg, with 99.2% classified as “superior” quality.
“The production growth and harvest in the second quarter were significantly affected by reduced capacity due to biofilter incidents and subsequent repairs,” said CEO Joachim Nielsen, in a stock exchange announcement on 4 July.
“Now that full capacity has finally been restored, we enter the second half of 2025 with all modules up and running. We therefore expect growth rates to increase and gradually bring the harvested fish back to a market size of 3 kg+," he added.
Proximar reports that it currently has 21 batches in production and approximately 2.1 million healthy salmon in its facility, and expects growth and harvest weights to gradually return to planned levels.
In a separate stock exchange announcement on 9 July, Proximar provided details of a new refinancing plan which it says will simplify and strengthen its capital structure.
The plan includes a NOK 150 million rights issue with tradeable rights for shareholders and a NOK 14.2 million private placement at NOK 1 per share directed to underwriters. Proceeds will be used for a working capital buffer, refinancing a short-term shareholder loan, and general corporate purposes.
The refinancing package also involves changes to the company's debt arrangements, including a 12-month extension of its Japanese syndicated bank loan and revised terms on its convertible bond. According to the company, these changes will result in lower interest costs and modified conversion terms on how and when bondholders can convert their bonds into shares.
Proximar said the rights issue would be proposed at an extraordinary general meeting in late August or early September, and a temporary conversion period for bondholders will be offered at the same time. A private placement in July is expected to meet short-term liquidity needs, the company said.
Nielsen described the refinancing as “a financial solution that secures increased flexibility and a stronger capital structure.”
"We will work hard to deliver operational progress, contributing to lifting the company further. We will also continue to seek alternatives to refinance the convertible bond, reducing the dilutionary effect on the shareholders,” Nielsen stated.
Proximar's next full operational and financial update, including revised harvest forecasts, is scheduled to be released on 22 August 2025.
