First Water's land-based facility in Þorlákshöfn, Iceland.
Photo: First Water
Icelandic aquaculture company First Water has announced it has completed a share capital increase of about EUR 24 million, with the majority of funding coming from new investors. The round also saw strong participation from existing shareholders, including investment company Stoðir, which remains the largest shareholder.
Three Icelandic pension funds joined as new investors, bringing the total to eight of the country’s ten largest pension funds now holding shares in the company.
Formerly known as Thor Landeldi, First Water is building land-based salmon farming facility at Laxabraut in Þorlákshöfn, near Thorlákshöfn, in southwest Iceland. Since its establishment, the company has raised a total of EUR 185 million in equity and around EUR 80 million in construction financing, primarily through Arion Bank and Landsbankinn, bringing total secured funding to EUR 265 million.
The aquaculture company is currently finalising construction of the first of six planned development phases, comprising eight closed 25-metre tanks. Preparations are under way for the second phase, which will feature 28-metre tanks and double production capacity from 5,000 to 10,000 tonnes (HOG) per year.
In September, First Water announced it was starting exports of 5 kg land-based salmon, all of which have been sold to buyers in the United States and Europe. The company claims it is among the first globally to produce and market salmon of this size from land-based systems, and that customer demand has been “exceptionally strong”.
The aquaculture firm also recently announced that its salmon is also now available to consumers in Iceland.
The company says in the longer-term, once six phases are completed, it expects a total production capacity of around 60,000 tonnes per year - higher than the original 50,000-tonne estimate. The company expects to reach 20,000 tonnes per year once the first two phases are operational, with the second phase due to be completed in 2028.
Eggert Þór Kristófersson, CEO of First Water, said the capital increase “marks an important milestone” and will allow the company to continue expanding and strengthening operations.
“Our experience with salmon farming in closed 25-metre tanks has been excellent, and customer response to our 5 kg salmon has far exceeded expectations,” Kristófersson said. “This high-quality product is a true game-changer for our operations, as demand is exceptionally strong. We have already sold approximately 2,200 tonnes of premium land-based salmon.”
He added that First Water’s focus now is on continuing construction at its Laxabraut facility, securing long-term financing, and expanding sales and marketing efforts.
