The board of directors of Norwegian cod farming company Norcod has proposed that an extraordinary general meeting be resolved to issue of 12,707,454 new shares in a private placement raising gross proceeds of NOK157 million (US$15.5 million) directed towards Portuguese agribusiness retail firm Jerónimo Martins Agro-Alimentar (JMA).
The subscription price in the private placement shall be NOK12.375 (US$1.22) per new share. Norcod said the investment will significantly accelerate the company’s growth trajectory, strengthen its shareholder base, and lay the foundation for what could evolve into a long-term strategic partnership with one of Europe’s most successful food retail groups.
Norcod said the NOK157 million in new equity will support its expansion plans and bring the company closer to achieving large-scale production of low-intensity farmed cod. Meanwhile, JMA's retail footprint – including Biedronka in Poland, Pingo Doce in Portugal, and Ara in Colombia – will provide Norcod with an opportunity to access an international distribution platform of significant scale.
Following (and subject to) completion of the private placement, JMA will own 12,707,454 shares, representing 18.06 per cent of the outstanding shares and voting rights in Norcod.