The board of Fremantle-based agribusiness, Mareterram Limited has announced that it has entered into a binding bid implementation agreement (BIA) with Sea Harvest Group. Currently the largest shareholder in Mareterram, Sea Harvest has proposed an all cash takeover, in an offer conditional on achieving a 90% shareholding.
This announcement comes after Mareterram delivered solid operational and financial results for 2018 (FY18) during what has been widely regarded as one of the most challenging Shark Bay Prawn Managed Fishery (SBPMF) seasons in 50 years.
Mareterram Fisheries' fleet of prawn trawlers are set up to process, package, and snap freeze all their catch at sea
The Mareterram board has established an Independent Board Committee, which has the scope of authority to, among other things, review, consider and evaluate the terms of the Sea Harvest offer. Having considered the offer, each member of the Independent Board Committee (being David Lock, Mark Pitts and Gregory Roberts-Baxter) together with managing director James Clement (being the directors of the Company who are not affiliated with Sea Harvest) are unanimously of the view that the Offer is in the best interests of Mareterram shareholders and accordingly unanimously recommend that shareholders accept the offer.
The Non-Affiliated Directors believe that the offer is an attractive one for shareholders and note that it represents a significant premium to the Mareterram share price prior to the offer being made public.
Mareterram Fisheries is the single largest owner operator within the SBPMF and is a member of the Shark Bay Prawn Trawlers Operators Association that recently helped the Shark Bay fishery receive Marine Stewardship Council certification as a sustainable fishery.
Western King Prawns and Brown Tiger Prawns are the major target species caught each year by Mareterram’s fleet for consumption both in Australia and for export. Mareterram Fisheries also produce a range of other species such as scallops, blue swimmer crabs, squid and cuttlefish.
