Polish smoked salmon specialist Morpol has entered into an agreement to purchase Norwegian salmon and smolt producer Jøkelfjord Laks.
The agreement, which gives the company an enterprise value of NOK490m (US$83m) and an equity value of NOK510m. The final purchase price will be based on the balance sheet at closing and adjusted for changes in net cash position and net working capital.
Morpol CEO Jerzy Malek said: “We are very pleased to enter into salmon farming in Norway and get on board with one of the best performing salmon farmers in the country. With this transaction we continue to build on our strategy to secure parts of our raw material needed to further develop Morpol as a leading supplier of high quality salmon products.”
Jøkelfjord Laks, located in Kvænangen municipality in Troms county, has seven licences for the production of salmon, one licence for educational purpose and two licences for smolt production. The company owns a slaughtery and packing station. The firm produced around 6 700 tonnes of salmon in 2010. It employs around 40 staff.
The completion of the transaction is subject to satisfactory due diligence and potential required governmental approval. The purchase is expected to close in the first half of February.