April 27, 2023

Salmon Evolution considers private placement of new shares

Salmon Evolution announced on the Norway-based Oslo Børs stock exchange on April 18 that it is contemplating a private placement of new shares in the company to raise gross proceeds of kr500 million (US$47 million).

The latest private placement came soon after the company finalised a binding loan agreement with DNB and Nordea for a green debt financing package worth kr1.55 billion (US$150 million). Salmon Evolution is engaging both DNB and Nordea as joint global coordinators and joint bookrunners in the newest private placement.

According to the company, net proceeds from the placement will be used to fund parts of its salmon farming facility at Indre Harøy, Norway, and for "general corporate purposes." Multiple primary insiders have all "indicated to apply" for offer shares.

The company announced it is contemplating a new private placement days after an April 11 announcement its production ramp up is proceeding according to plan.

The company said it recorded "all-time high biomass production" in March, gaining 320 tonnes in biomass for the month. The company's standing biomass as of March 31 was "almost" 1,500 tonnes live weight, a doubling from the 733 tonnes it had on December 31.

Salmon Evolution also expects to produce 50,000 tonnes of Atlantic salmon annually at its land-based farm.

- SeafoodSource