Iceland Seafood International (ISI) has finalized its acquisition of Solo Seafood.

Solo Seafood is the sole owner of Icelandic Iberica and Ecomsa in Spain and Achernar in Argentina.

It, in turn, is owned by Sjávarsýn, Fisk Seafood, Jakob Valgeir and Nesfiskur, and Icelandic Iberica Managing Director Hjörleifur Ásgeirsson.

Fisk, Jakob Valgeir and Nesfiskur hold a significant percentage of the national fishing quotas in Iceland. The combined vendor group will become long-term shareholders and suppliers of ISI.

Icelandic Iberica is one of the leading seafood companies in the South European market with turnover of €120 million ($140.2 million) and pre-tax profits in excess of €4 million ($4.7 million), and with a projected 2018 outturn of more than €4.7 million ($5.5 million) at pre-tax level.

With its extensive product range including cod (bacalao), Argentinian shrimp, cuttlefish and hake and processing capacity in Spain and Argentina, the company has seen strong growth in sales and profit in the last few years.

The acquisition produces in combination a group with sales of more than €400 million ($467.4 million) delivering in excess of €10 million ($11.7 million) in proforma pre-tax profits for 2018 with material synergy benefits and growth within the combined business still to be added.

“With this acquisition Iceland Seafood International continues its strategy of acquiring strong value-added companies in key markets,” the company said.

On completion of the transaction Iceland Seafood International will operate seven value added factories globally.

The ISI shareholding of Fisk Seafood, Jakob Valgeir and Nesfiskur, all major players in the Icelandic seafood industry who collectively represent over 10 percent of the Icelandic quota, operating 8 processing factories in Iceland creates a fully integrated seafood supply chain serving over 45 countries and more than 3,000 customers around the world.

The parties expect full completion to occur within the next four to seven weeks. The group will in due course consider a main market listing.

Finance

ISI finalizes acquisition of Solo Seafood