Nutreco has announced that it has agreed to acquire 100% of the shares in Shihai Co Ltd., a reputable and profitable fish and shrimp feed company in China.
The agreed purchase price is approximately EUR 40 million. The revenue in 2010 was EUR 65 million.
This acquisition will provide Skretting, the Nutreco aquaculture feed business, with a production base in China, the world's number one aquaculture feed market. The acquisition is fully in line with the strategy to capitalise on Nutreco's leading fish feed positions and diversify by expanding in new regions and into feed for other species and shrimp. The closing of the transaction is subject to permission being granted by the authorities in China.
Shihai Co supplies a growing market and produced approximately 100,000 tonnes of fish and shrimp feed in 2010, a year in which it commissioned a new feed plant with a capacity of approximately 150,000 tonnes. The new plant is constructed and equipped to a high standard and is capable of operating to Skretting specifications.
Shihai Co employs 300 people.
Following completion of the acquisition, Skretting plans to continue growing the business, supplying fish feed for species such as shrimp, various marine fish species, tilapia, snakehead and catfish.
