Chilean farmed salmon producer Nova Austral posted its fourth consecutive year of losses, adding to the companies piling woes.
Nova Austral, backed by Swedish private equity group Altor, posted pre-tax losses of $50.8 million (€46.7 million), just slightly higher than the $50.3 million (€46.2 million) the company lost the year prior.
This follows reported losses of $81 million (€74.5 million) in 2020 and $2.2 million (€2 million) in 2019.
Publication of the results, which were delayed due to an audit, means Nova Austral has now been allowed to resume trading on the Oslo stock exchange.
In late April, Nova Austral bondholders voted in favor of proposed restructuring plans for the company.
Amid operational challenges and liquidity constraints, Nova Austral was unable to meet its financial obligations and working capital requirements without receiving additional funding.
The company has been in talks to financially restructure the company with secured lenders and bond holders as it tries to address its working capital needs.
The bondholders are working on a corporate restructuring of the Nova Austral Group, and are currently looking at alternative plans.
The first alternative would include providing Nova Austral with a loan of $20 million (€18 million) to help resolve its debts.
The second alternative, if approved, would involve Altor, Nova Austral's parent company, selling its share.
In October 2022, Altor bought out co-investor Bain Capital, a US private equity fund. The two first invested in Nova Austral in 2014.
Nova Austral has been granted certain waivers of payments of interest and installments due under outstanding credit lines and on a loan to its Piscicultura Tierra Del Fuego subsidiary.
Discussions with the creditors are continuing, but with secured lenders are not willing to extend such waivers; the company and Piscicultura Tierra Del Fuego "are in default under the facilities agreements," according to the company.
On April 7, Nova Austral announced it had reached an agreement on the terms for a proposed financial restructuring of its capital structure with its secured lenders and a group of the largest bondholders, which was voted through on April 25.
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