Yellowtail kingfish.
Photo: Adobe Stock.
Australian shellfish producer Yumbah Aquaculture is moving ahead with its bid to take over yellowtail kingfish farmer Clean Seas Seafood, based in Port Lincoln, South Australia.
Clean Seas Seafood Limited (CSS), which is listed on the Australian stock exchange ASX, has signed a formal agreement with Yumbah Aquaculture Ltd, under which Yumbah will acquire 100% of Clean Seas' shares through a legal process known as a scheme of arrangement.
If approved, this would mean Clean Seas would no longer be listed on the ASX and would become part of Yumbah, a privately-held aquaculture company.
In a stock exchange announcement, the Clean Seas Board, through an independent board committee (IBC), said it had unanimously recommended that shareholders vote in favour of the scheme, in the absence of a better proposal and subject to confirmation from an independent expert that the deal is in shareholders' best interests.
“The merger of Clean Seas and Yumbah represents a strategic alignment that enhances operational capabilities, market reach, and long-term growth potential," said Clean Seas IBC member Katelyn Adams.
"By combining expertise in aquaculture and sustainable seafood production, the combined entity will be well-positioned as a leading provider in Australia’s aquaculture industry," Adams continued.
The merger was originally proposed in February, and is expected to be concluded in July 2025, subject to approvals from a forthcoming shareholder meeting, court and regulatory clearances, and an independent expert report.
Yumbah, one of Australia’s largest abalone producers, operates a vertically integrated aquaculture business across South Australia, Victoria, Tasmania, and New South Wales. The company is also involved in the production of oysters, mussels, aquafeed, and oyster spat. Yumbah previously merged with Eyre Peninsula Seafoods, then Australia's largest mussel farming and processing company, in 2023.
