Barramundi finds a partner for its Australian business
SINGAPORE-based fish farmer the Barramundi Group has found a strategic partner for its Australian business, following a search it announced late last year.
Barramundi signed a share sale agreement with Wild Ocean Australia (WOA), in what it said marked “a significant and strategic milestone”.
WOA will take 75% of the equity of Barramundi’s Australian subsidiary, Marine Produce Australia (MPA), while Barramundi takes up 34% of WOA’s shares.
The deal also involves Barramundi’s CFO Helen Chow moving to MPA, while Jessie Lai takes her place as CFO at Barramundi Group.
WOA is expected to play “a strategic role” in driving the Australian business and operations, as well as co-leading the application for the 13 lease sites with the Australian State and Federal government and agencies.WOA already operates a fish processing business in Darwin, Australia, as well as the Darwin Fish Market retail outlet.
Barramundi Group CEO James Kwan said:“This is indeed a significant milestone, as Barramundi Group’s 34% stake in Wild Ocean allows the Company to retain an effective 50.5% economic interest in MPA. It allows us to have a meaningful participation in the value creation generated from our application of these 13 new lease sites.
“Apart from strengthening MPA’s position as Australia’s only ocean-grown barramundi producer, we are also excited that Wild Ocean’s offerings from [its] Darwin Fish Market business will be made available to our premium customer network in Asia.”
Meanwhile, Barramundi has reported preliminary financial results for 2022.The group recorded revenue of SGD $35.2m (£21.8m) last year compared with SGD $32.7m (£20.3m) for 2021.
The group remained in the red, with slightly reduced losses of SGD $19.7m (£12.2m) compared with SGD $24.9m (£15.5) in 2021.