Norway Pelagic ASA and Fryseriet AS, have on January 17th entered into a letter of intent to join forces.
Fryseriet AS is owned by Ytterstad Fiskeriselskap AS and is located in Lødingen, Nordland. The company’s
preliminary accounts for 2008 indicate a turnover of NOK 265 million and an operating result of NOK 13
million. The company purchased 55,000 tons pelagic fish, mostly related to Norwegian Spring Spawning
Herring. By comparison, The Norway Pelagic group had an annual purchase of 395,000 tons.
The transaction will increase Norway Pelagics annual capacity from 110,000 tons to 170,000 tons, which
amounts to approximately 35 % of total capacity in the Northern Norway pelagic industry.
The Ytterstad group is a leading company in the Northern Norway pelagic industry, and contributes with a
valuable relation to the fishing fleet and market expertise especially on capelin and value added herring
products. It is the Companies opinion that this will represent an important added value for Norway
Pelagic, and together with a far stronger position in Northern Norway, will create possibilities to realise
significant synergies.
The letter of intent is in line with Norway Pelagic’s key strategy to pursue a stronger position and
proximity in Northern Norway, and also targets to develop the pelagic environment in Lødingen.
The transaction is planned to be carried out by Norway Pelagic ASA acquiring 100% of the shares in
Fryseriet AS and Ytterstad Export AS, and will be compensated by an 10,3 % ownership share for Ytterstad
Fiskeriselskap AS in Norway Pelagic ASA. Consideration will mainly be carried out in shares. Ytterstad
Fiskeriselskap AS is prior to the transaction indirectly controlling 2.2 % of the shares in Norway Pelagic
ASA.
