August 1, 2024

Danish firm Billund Aquaculture files for bankruptcy

Billund Aquaculture, a Danish company renowned for its expertise in designing and starting recirculating fish farms, has filed for bankruptcy, Fish Farmer reported.

The company announced on Friday that it would be submitting a winding-up petition, citing an untenable business situation as the reason for the decision.

The company, like many others, faced significant challenges during the COVID-19 pandemic, which was further exacerbated by the ongoing Ukraine War. Billund's chairman, Jon Refsnes, expressed deep regret over the decision, stating that there was no viable alternative for continuing operations.

CEO Kristoffer Lund acknowledged that, despite good operations over the past year, the company faced numerous challenges stemming from previous activities, making it difficult to secure sufficient capital for future operations. These ongoing disputes, originating before the changes implemented in 2022, ultimately obstructed Billund's attempts to meet its capital requirements.

After evaluating the situation, the board concluded that continuing operations was not feasible. The company is now focusing on finding the best possible solutions for its employees, customers, and creditors.

Billund Aquaculture was founded in 1986 as a spin-off from an eel production company in Denmark when recirculating aquaculture system (RAS) technology was relatively unknown. Driven by the innovative and visionary spirit of its leaders, Billund emerged as a pioneer in sustainable aquaculture development worldwide.

In the 1990s, the company expanded its activities across Taiwan, Korea, Thailand, and China during the eel production boom, which lasted about seven years. Billund then transitioned into the salmon sector, establishing a recirculation fish farm in Chile.

-      Fish Farmer