Directors of Icelandic fisheries firms Isfelag Vestmannaeyja and Rammi have agreed to merge the companies, creating a business with a combined revenue of around ISK 28 billion (€184 million/$195 million).

The merged company, named Isfelagid, will hold nearly 8 percent of Iceland's quota limit, according to 2021 numbers, reported.

Isfelag Vestmannaeyja has four pelagic vessels, along with a handful of smaller harvesting vessels. The company has offices in the Vestmanna Islands and in Porshofn, operating a cold storage plant and a fishmeal factory in each location.

Fjallabyggd-based Rammi operates four fishing vessels in addition to separate fish and shrimp processing plants.

Isfelag Vestmannaeyja Managing Director Stefan Fridriksson is expected to manage the merged enterprise, supported by Olafur Marteinsson, the current managing director of Ramma in the role of assistant managing director, the report said.

The merger is subject to the approval of the Iceland competition regulator and both companies' shareholders.