March 28, 2013

Marine Harvest to sell farming assets to Cooke Aquaculture

Marine Harvest announced an agreement to dispose its integrated farming operations on the Shetland and Orkney Islands to Cooke Aquaculture Inc.

The operations have a combined harvest volume of 17,400 GWT estimated for 2014. The agreed Enterprise Value (EV) is £122.5 million (US$204 million), which corresponds to an EV per kilogramme of approximately NOK70 (US$12). Closing of the transaction is expected in the second quarter.

The divestment is a consequence of the remedies set forth by the EU Commission for the approval of the Morpol transaction in September 2013. The EU Commission required Marine Harvest to divest farming capacity on the Shetland and Orkney Islands. The agreement is conditional on the EU Commission approving that the purchaser and the transaction as well as the sales terms satisfy these remedies.

The majority of the assets included in the transaction have been booked as assets held for sale and Marine Harvest's volumes guidance will not be affected by the transaction. Based on the year end 2013 balance sheet, anticipated gain on the sale is approximately NOK300 million (US$50 million). Final gain is to be determined upon completion of the transaction.

A completion of the sale is likely to increase the potential dividend capacity for first quarter. The final first quarter dividend will be decided by the Board in connection with the first quarter result announcement planned for April 30.