In late October three Norwegian companies – Domstein Pelagic AS, Global Fish AS and Westcoast AS – announced plans to merge their activities and establish a new pelagic company.
The company will become an effective unit and will become the world's largest processor of herring and mackerel. The total turnover of all three companies in 2005 was approximately NOK 3 billion.
According to the three companies, the size and position of the new company will strengthen the whole value chain and will make it easier to develop established markets and create new ones. The new company will be in a better position to adjust and utilise the total production capacity of the parties and this is expected to give improved profitability. The merger of the companies will also contribute to a better structure of the whole pelagic industry.
The company's head office will be in Måløy with branch offices in Bergen and Ålesund. The key personnel of the three companies will join the new company.
The final agreement of the merger is expected by 31st December 2006, and by then the organisation of the company will also be ready. The parties will operate separately in winter 2007 and the new company will be operative by the end of the second quarter of 2007.
