Aker Biomarine announces deal valuing feed division at $590 million

Editorial Staff

The division, which operates three harvesting vessels, posted revenues of $156 million for 2023.

Norwegian krill harvester and processor Aker BioMarine has reached an agreement to sell its ownership position in its feed ingredients business to a newly established company owned by American Industrial Partners (AIP) and Aker Capital for $590 million.

Under the terms of the deal, AIP will hold a 60% stake in the new entity, while Aker Capital will own the remaining 40%. The sale is based on an enterprise valuation of the business on a cash and debt-free basis and will be adjusted for normalized working capital and excess product inventory at closing.

The transaction follows Aker BioMarine’s strategic review announced on February 14, 2024, and aims to crystallize significant shareholder value, enabling the company to focus on its human health and nutrition business.

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“We are pleased to announce the sale of our ownership position in the Feed Ingredients business. This transaction underscores the value potential of Aker BioMarine as a whole and allows us to concentrate on driving shareholder value through potential partnerships and transactions for our remaining business units,” said Matts Johansen, CEO of Aker BioMarine.

The Feed Ingredients division, which operates three harvesting vessels targeting krill in Antarctica, posted an EBITDA of $49 million on revenues of $156 million for 2023.

Aker BioMarine will use the proceeds from the sale to refinance its debt and aims to distribute an extraordinary dividend to shareholders, expected to be between NOK 35 and NOK 45 per share.

Following the transaction, Aker BioMarine will be a focused human health and nutrition company consisting of three business units; (1) Human Health Ingredients (2) Consumer Health Ingredients and (3) Emerging Businesses.

Aker BioMarine has entered into a long-term contract with Feed Ingredients for the supply of krill raw materials for its Human Health Ingredients business.


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