Salmon Evolution has announced it has entered into an investment agreement with South Korea's Dongwon Industries, whereby Dongwon will make a NOK 50 million investment to acquire a minority share in Salmon Evolution.<\/p>\n
Under the terms of the agreement, the two partners further plan to enter into apartnership on jointly constructing a land-based fish farm in South Korea utilizingSalmon Evolutions technology.<\/p>\n
They will also jointly consider future opportunities for scaling similar projects in other Asian markets as well as the North American market, the salmon farmer said.<\/p>\n
\"This is a very exciting opportunity for us,\" said Salmon Evolution CEO Hakon Andre Berg. \"Collaboration with a global player like Dongwon Industries will strengthen our commercial opportunities as well as giving us solid industrial support for scalingour concept in new markets.\"<\/p>\n
The pair's dialogue has been ongoing for some time, but COVID-19's spread delayed the process of Dongwon's investment, he added.<\/p>\n
\"After assessing a number of projects for land-based fish farming enterprises, weconcluded that Salmon Evolution represents the best investment and partnershipopportunity in the sector,\" said Kiyun Yun, Dongwons CFO.<\/p>\n
\"We believe that Salmon Evolutions technology does the best job of recreating natural marine conditions while avoiding the many challenges faced by conventional fish farming in the sea.\"<\/p>\n
In May Salmon Evolution began the construction of a land-based fish farm in western Norway at Indre Haroy, Hustadvika municipality.<\/p>\n
This facility will be based on 65% reuse and 35% supply of filtered and temperature-controlled seawater, which it believes will contribute to optimal operations and substantially reduce risk compared with other types of land-based aquaculture usingvirtually full water recirculation.<\/p>\n
On completion, the fish farm at Indre Haroy should have an annual production capacityof about 36,000 metric tons of Atlantic salmon.<\/p>\n
\"An investment by a large global seafood player sends a strong signal to the industryat this early phase,\" added Tore Tonseth, chair of Salmon Evolution. \"Our existing owners have broad experience from the whole value chain for conventional aquaculture and a high level of expertise with the various technology concepts for land-based fish farming.\"<\/p>\n
The fact that Dongwon is not only investing in Salmon Evolution, but also plans to enter into a partnership with the company, was a strong verification of its potential, he said.<\/p>\n
In addition to the value potential offered by building similar land-based farms in other parts of the world, Tonseth highlighted the substantial sales and distribution opportunities that could come out of this partnership.<\/p>\n
\"This takes us a long step forward in the work needed to ensure scaling and access in a world market where quality and sustainability are becoming ever more important. Dongwon Industries will also be a strategic partner in our future distribution network.\"<\/p>\n
Pareto Securities and DNB Markets have acted as financial advisors to Salmon Evolution in the transaction.<\/p>\n
Contact the author [emailprotected]<\/p>\n
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Dongwon, Salmon Evolution to launch land-based farm in Korea - Undercurrent News<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" Salmon Evolution has announced it has entered into an investment agreement with South Korea's Dongwon Industries, whereby Dongwon will make a NOK 50 million investment to acquire a minority share in Salmon Evolution. Under the terms of the agreement, the two partners further plan to enter into apartnership on jointly constructing a land-based fish farm in South Korea utilizingSalmon Evolutions technology. Continue reading