July 11, 2007

Norway's Austevoll Seafood to acquire a 20-percent stake in Russian Sea

Norway's Austevoll Seafood ASA is planning to acquire a 20-percent stake in seafood supplier Russian Sea, under a letter of intent signed Monday.

Russian Sea focuses on wholesale of fish and fish products and on raising fish commercially. The company the largest importer of fish from Norway in Russia. Sales are projected to total about US$500 million this year.

Austevoll Seafood is a leading fish production and processing company, with market capitailization of more than US$1.6 billion.

The acquisition is subject to a financial and legal due diligence to be performed on Russian Sea by mid-August, Austevoll Seafood said.

The two companies plan to focus on production and processing of pelagic species of fish, raising salmon and canning activities.

Details of the deal will be agreed upon and approved in August.