Trusal and Pacific Star agree upon merger
A memorandum of understanding has been recently signed between Salmones Pacific Star and Trusal, two mid-size Chilean salmon producing firms, establishing the first step towards a merger between both companies.
This merger should be materialized in the coming months, once the due diligence stage is concluded and the Chilean banking -main creditor of Trusal, approves the operation, said some sources close to the transaction.
According to the information published in the newspaper La Tercera, Trusal will keep one third of the merged company, while Pacific Star will control the remaining two thirds of the new firm. Likewise, Trusal would receive capital contributions from Pacific Star in the coming months and there would be a capitalization of debts of around US$ 80 million.
Trusal was looking for a partner since 2011 and had maintained conversations with several companies, like Granja Marina Tornagaleones and AquaChile, for example. However, Pacific Star had the fastest response of them all.
Pacific Star has a annual production capacity of around 24,000 tonnes of salmonids, while Trusal produces close to 35,000 tonnes per year. After the merger, it is expected that the new company will produce about 70,000 tonnes of salmonids, becoming the fifth largest salmon producing company in Chile.
This is the first merging operation after the so called 'ISA crisis' and will probably set the starting point for a new consolidation process in the Chilean salmon industry.
