03.04.2006 · The Government

Framtaksgrunnur Føroya has sold Faroe Seafood

Framtaksgrunnur Føroya and a group of investors have entered into a deal for the sale of Faroe Seafood. The parties agreed on a price of DKK 112 million.

The new owners of the company are Framtaksgrunnur Føroya, Notio Framtaksfelag, Traustfang hf. (a subsidiary of the Icelandic insurance company, VÍS), Kaupthing, Spf 14, and Vinnan. In addition, the management of the concern owns a significant share of the concern. Kaupthing handled the purchase and KPMG Corporate Finance advised Framtaksgrunnurin on the sale.

Framtaksgrunnur Føroya has sold Faroe Seafood

Framtaksgrunnur Føroya and a group of investors have entered into a deal for the sale of Faroe Seafood. The parties agreed on a price of DKK 112 million.

The new owners of the company are Framtaksgrunnur Føroya, Notio Framtaksfelag, Traustfang hf. (a subsidiary of the Icelandic insurance company, VÍS), Kaupthing, Spf 14, and Vinnan. In addition, the management of the concern owns a significant share of the concern. Kaupthing handled the purchase and KPMG Corporate Finance advised Framtaksgrunnurin on the sale.

The new owners intend to increase the activities of Faroe Seafood – especially within the international market. Today, the excellent growth potential of the company can be assured by its endeavours to continually enhance the quality values upon which the enterprise is based.



To exploit this growth potential, it will be necessary to consolidate the financial underpinnings of the concern. Framtaksgrunnurin, as the previous sole owner, did not have the capacity required for such expansion due to restrictions in its own articles of association.



Along with the new owners, Framtaksgrunnur Føroya can therefore assist in developing the company into a more complete fishing industry concern with a more solid and firm operational and financial base, so that the present value of the share held by Framtaksgrunnur can increase considerably. The fact that the present management opted to participate in the purchase was of the utmost importance to the new shareholders, as well as Framtaksgrunnur, which based its continued interest in maintaining an ownership position in the company on the involvement of Faroe Seafood management.

The goal of the new owners is to list the company on the Faroese stock market as soon as possible.

Translation by Sprotin