Sildarvinnslan acquires fishing company Vísir hf.

Sildarvinnslan acquires fishing company Vísir hf.

For ISK 31 billion (€222.2 million/$225.2 million)

Sildarvinnslan has acquired Vísir hf. located in Grindavik, Iceland. The purchase price of the share capital has been ISK 20 billion (€222.2 million/$225.2 million). This is subject to the approval of the shareholders and the Icelandic Competition Authority.

Thereby, Sildarvinnslan buys all of Vísir's share capital and bearing debt amounts. So, the transaction amounts to a total of ISK 31 billion (€78.9 million/$79.9 million).

In addition, the share is paid for with cash (30% purchase price) and with shares in Sildarvinnslan (70% purchase price). The transaction is based on the average price of it shares over the last four weeks, which is 95.93.

Moreover, the agreement states that the headquarters of the Sildarvinnslan catfish processing plant will be at Vísir hf. in Grindavik. Also, Petur Hafsteinn Palsson will continue to be the managing director of Vísir.

According to a press release, the aim is to strengthen the companies' sales and marketing activities and to maximize the value of production. Vísir will operate as a subsidiary of Sildarvinnslan.

Finally, if the transaction gets confirmed Sildarvinnslan's current fishing rights will be slightly above the current limit. Consequently, the company has six months to adjust to this limit.

Regarding the acquisition, Gunnthor Ingvason, CEO of Sildarvinnslan said: "It is important to build strong companies in this country to withstand tough competition. There are great opportunities in the processing of seafood in Grindavik, among other things due to increased fish farming in Reykjanes in the near future.

About Vísir hf.

Vísir hf. is a family business that has focused on responsible fishing and high-tech processing. It operates four vessels in a catch limit system and two boats in a hook catch limit. 

Besides, the company has a saltfish processing plant and a highly technological catfish processing plant in Grindavik, in addition to owning foreign subsidiaries. 

In the fishing year 2022 – 2023, the company's catch quotas will be around 15 thousand cod equivalent tonnes. Last year there were about 250 man-years, the annual turnover was over ISK 10 billion and the profit over ISK 800 million.

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