Grieg to sell Canadian and Finnmark assets to Cermaq for £738 million 

Salmon farmer Grieg Seafood has agreed to sell its businesses in Newfoundland and British Columbia in Canada and in Finnmark, Norway, to the world’s third-largest salmon farmer, Cermaq, for NOK 10.2 billion (£738 million / CAD 1.36bn), it announced today.

Grieg, which has been struggling financially, will focus on developing its fish farming operations in the Rogaland region in western Norway, where it expects to harvest 30,000 gutted weight tonnes this year.

“This transaction will position both Grieg Seafood and the regions for the future. It allows us to concentrate focus and resources in Rogaland. We aim to continue to be a strong actor in the advancement of sustainable aquaculture in Norway,” said Nina Willumsen Grieg, chief executive of Grieg Seafood ASA.

The right buyer

Grieg said Cermaq, which is owned by Japanese industrial giant Mitsubishi, is well positioned to take the Finnmark, Newfoundland, and British Columbia (BC) regions further. Cermaq already farms in Finnmark and BC, but Grieg's Newfoundland operation will extend its reach to Atlantic Canada.

“Cermaq shares our values of farming with the lowest possible environmental impact and highest possible fish welfare, as well as of respecting and contributing to the rural and Indigenous communities where the operations take place. We are confident that the regions are in the best hands and that they will continue to create local value long into the future,” said Willumsen Grieg.

“Significant values have been created over many years. I want to sincerely thank all employees for their dedication to the company.”

Deep respect

Cermaq Group chief executive Steven Rafferty said: "We have deep respect for Grieg Seafood and their long-standing heritage. With dedicated employees and operations in several regions where Cermaq operates today, we believe the companies are an excellent match with a shared goal of sustainable and innovative operations. We are very honoured to have the opportunity to continue the business that the Grieg family started over 30 years ago."

The deal, which also includes Grieg Seafood’s North American sales organisation,  is subject to customary closing conditions, including approvals by relevant competition authorities.

Finnmark

Grieg has salmon farms in four municipalities in Finnmark in northern Norway, along with a smolt facility in Lebesby and a harvesting plant and a regional office in Alta. The company, which also owns 50% of a smolt facility in Hasvik, employs 309 people in Grieg Seafood Finnmark.

Grieg Finnmark has guided for a harvest of 32,000 gwt in 2025.

Newfoundland

The company’s fish farming operations in Newfoundland, Alantic Canada, are still under development but have considerable potential. Grieg is the only company allowed to raise salmon in Placentia Bay and has 14 seawater licences for the Bay. It has a land-based freshwater facility and offices in Marystown, and employs 110 people in the region.

The Newfoundland operation’s licence conditions stipulate that it must use sterile triploid fish to prevent the risk of introgression with wild salmon in the event of an escape. Although there have been problems with growing triploids elsewhere, Grieg says that has not been the case in NL.

The region targets a harvest of 10,000 gwt this year.

British Columbia

In British Columbia, on Canada’s Pacific coast, Grieg has 11 seawater farms on the East and West Coasts of Vancouver Island, a land-based freshwater facility in Gold River and offices in Campbell River. Grieg BC employs 126 people and expects to harvest 12,000 gwt in 2025.

As part of the federal government’s transition plan, licences for all open net pen salmon farms in BC will expire at the end of June 2029 and won’t be renewed. Licences will only be granted to land-based facilities and floating closed containment farms.