February 22, 2010

European fund invests in Cell Aquaculture

Cell Aquaculture Limited has secured an initial US$2.4 million investment from a large European strategic investment partner.

The Dutch based private equity fund, Linnaeus Capital Partners (Linnaeus), will become a major Cell Aquaculture shareholder having acquired 25 million shares at 9.6 cents per share for its initial investment. Cell Aquaculture's trading range was approximately 13-14 cents at the time of offer. This is the first stage of a planned long term funding and investment strategy in Cell Aquaculture, with the shares subject to a voluntary 12 month escrow period.

Linnaeus holds significant investments across a range of industries in small to medium cap companies. It targets high growth potential and now plans to develop a global presence in aquaculture.

Linnaeus Director, Anita Hamilton stated, "We see tremendous opportunity in the aquaculture industry particularly in the land-based recirculating sector. Following thorough due diligence and having searched the world for a suitable aquaculture investment, we believe that Cell Aquaculture is exceptionally well positioned to capitalise on the booming aquaculture industry."

"Cell Aquaculture has developed unique technologies, a compelling business model and by collaborating with a strong investment partner, the company can now rapidly develop a substantial international aquaculture business."

The principals of Linnaeus will be meeting with Cell Aquaculture representatives in both Malaysia and Australia in coming weeks to review the company's growth plans and develop a further funding and investment strategy. Discussions will also include European expansion opportunities.

The company's consolidated cash position is now approximately US$3.4 million.