A toast to expansion: Scottish Sea Farms now owns Grieg Seafood Hjaltland UK, increasing capacity and giving it greater control over key biological factors in Shetland. Photo: SSF.

Scottish Sea Farms wraps up £164m Grieg Shetland deal

Scottish Sea Farms today completed the £164 million purchase of Grieg’s Shetland and Skye salmon farming operations, Grieg Seafood Hjaltland UK.

Published Last updated

“Grieg Seafood would like to thank all employees for their tremendous efforts in turning around the company, and the local communities in Shetland for their support over many years,” Grieg said in a press release.

Grieg chief executive Andreas Kvame said: “The sale represents an important milestone in our communicated strategy to concentrate future farming activities in Norway and Canada, where we see the largest potential for profitable and sustainable growth.

Good shape

“Following a three-year long period of restructuring and operational improvement, our Shetland business has been turned around. The region has improved sea lice control and survival significantly and delivered solid profits during the two previous quarters. I am pleased to say that we hand over operations in good shape.

“I want to sincerely thank all employees of Grieg Seafood Shetland for their impressive efforts and dedication to the company, especially during the difficult times of the pandemic. I am confident that the Shetland business is in good hands and that salmon farming will continue to create value for the local communities in Shetland for years to come.”

An extra 13,000 gwt 

SSF’s acquisition of Grieg’s assets is expected to add 13,000 gutted weight tonnes to its harvest volume next year, taking its total production to 46,000 gwt.

It will also allow SSF greater influence over several key biological factors including fish health, stocking regimes and sea lice management in Shetland.

SSF managing director Jim Gallagher said: “It’s a really positive note on which to end 2021 and look ahead to the new business year. Growing Scottish Sea Farms has been a long-held ambition of ours and the acquisition of Grieg Seafood Hjaltland UK offers us the opportunity to do exactly that.

“The hard works starts here but we are looking forward to building an even stronger, more profitable farming region in Shetland.”

Scottish Sea Farms is 50/50 owned by SalMar ASA and Lerøy Seafood, the world’s third and fourth largest Atlantic salmon farmers respectively.