TripleNine's Board of Directors has recommended a merger of TripleNine and Norwegian Vedde AS with effect from January 1, 2013.

Norwegian Vedde AS with its subsidiary Lota in Chile, is owned by the Norwegian family-owned business Koppernæs AS. The merger is completely in line with TripleNine's conversion from a cooperative to a limited company on November 1, 2012.

Following the merger, the new company, which will be named TripleNine Group A/S, will have production facilities in Norway, Denmark and Chile, as well as owning 50% of a trading company in Norway plus affiliate companies in Mauritania, South Africa, Turkey and Greece.

"The merger of the two companies is part of our plan to contribute to the consolidation of the industry worldwide, not only regionally," says TripleNine's CEO Christian Bisgaard. "It will be a great strength for the new company to be represented in different parts of the world both in terms of security of raw material supply and also in serving our customers all over the world in the best way possible.

The reason why it is Vedde AS that we are amalgamating with is due to the fact that our business strategies fit very well with each other," continues Christian Bisgaard. "Like us, they have a strong interest in the continued development of the production of marine proteins and oils, including omega-3 oil for the health-food market."

"Easy access to raw materials is crucial for the production of fishmeal and fish oil. For this reason TripleNine Group's future production facilities will be located as close to the raw materials as possible and also in different geographical areas so that supply can be maintained. New production facilities will only be started where raw materials are present," says Christian Bisgaard.

He adds that efforts to secure supply of raw materials will also mean that the new company will aim for further co-ownership of fishing companies, in order for the TripleNine Group to have a more permanent connection to suppliers of raw materials. TripleNine Group is already part owner of fishing companies in Scandinavia, South Africa and Chile.

The amalgamation with Vedde AS is expected to be presented at an extraordinary general meeting at the beginning of the New Year and so will take effect on January 1, 2013. But obviously the merger can only be made fully effective when all approvals have been received.

TripleNine Group A/S will be a Danish company with headquarters in Denmark, and the Danish fishermen who today own the TripleNine cooperative will own 50% of the new company, while Koppernæs AS will receive the remaining 50%.