Land-based farmer still needs $7.8 million to cover increased costs; in ‘positive’ talks with investor

Editorial Staff

$3.7 million has already been committed by existing shareholders.

Land-based salmon farmer Proximar Seafood is in the process of raising additional capital to support its expansion.

Following its third-quarter report, the company identified a need for approximately NOK 165 million ($15.2 million) in funding due to increased operational costs and capital expenditures.

To address part of this funding requirement, Proximar has secured debt solutions, reducing the additional equity required to about NOK 85 million ($7.8 million), with NOK 40 million ($3.7 million) already committed by existing shareholders.

CEO Joachim Nielsen. PHOTO: Proximar Seafood

“We are in a positive dialogue with a potential new, high-quality, long-term investor and have received an indication of interest from such an investor to participate with a significant amount in a potential new share issue, and as a result the company will now start dialogues with other existing shareholders and new investors,” the company wrote in a stock exchange announcement on Thursday.

The company is actively engaging with potential investors, including a high-quality long-term investor, to participate in a new share issue.

Proximar, with its first production facility at the foot of Mount Fuji in Japan, aims to capitalize on the significant cost and environmental advantages of local production. The company plans its first harvest for Q3 2024 and is supported by key industrial investors and a syndicated loan led by Mizuho Bank in Japan.

In May, Proximar appointed former Equinor executive Ole Christian Willumsen as its new chief financial officer (CFO).

The land-based salmon farming startup is backed by Norwegian salmon producer Grieg, and Skretting-parent Nutreco, as well as Japanese conglomerate Marubeni.

Japan consumes approximately 40,000 metric tons of Atlantic salmon annually. With 85 percent of this imported chiefly from Norway.


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