6.8.2024 10:00:01 CEST | Nekkar ASA | Non-regulatory press releases

06 August 2024 – As a continuation of its previously announced streamlining process, the FiiZK group has entered into an agreement to divest FiiZK Protection AS’ lice skirt production business to Icelandic fishing industry supplier Hampidjan Group.

The sale is part of a streamlining of FiiZK, which going forward will focus on unconventional farming methods including closed and semi-closed cages for fish farming. The first step of this strategy was announced on 26 June 2024, when FiiZK announced the sale of FiiZK Digital AS to seafood investor Bluefront.

FiiZK Group’s largest shareholders are Nekkar ASA (39%) and BEWI Invest (41%).

"The aquaculture industry is increasingly recognising the biological and commercial benefits that closed and semi-closed cages bring. To date, FiiZK’s cage products have successfully completed more than 70 production cycles, demonstrating strong fish growth and no problems with lice and escapes. We aim to build on this success,” says Jan Erik Kvingedal, managing director of FiiZK.

Sale of lice skirt business

Under the agreement, FiiZK Group divests FiiZK Protection AS’ lice skirt business, which is located at Valsneset in Ørland municipality, northwest of Trondheim, Norway, to Icelandic company Hampidjan Group. The lice skirt business delivered revenue of approximately NOK 100 million in 2023.

FiiZK Protection AS is a leader in the production and sale of salmon lice skirts for the aquaculture sector and has about 80 percent market share in Norway. Following the sale, the number of employees in the company will be around 30, located primarily at Valsneset.

The parties have agreed to not disclose the financial details of the transaction, which is expected to be completed in September 2024. FiiZK Protection AS will be renamed following the completion of the transaction.

Keeping Mjåtveit facility

FiiZK Protection AS’ facility at Mjåtveit, outside Bergen, West Norway, is not part of the transaction. This business, which manufactures technical textiles including canvas for closed and semi-closed fish cages, will be transferred to the FiiZK group company FiiZK Industries AS prior to execution of the share purchase.

Approximately 20 people are employed at the Mjåtveit facility.

“Our facility at Mjåtveit plays a key role in manufacturing materials for our semi-closed and closed fish cages. Keeping this business therefore supports FiiZK’s strategic direction,” says Ole Falk Hansen, chairman of FiiZK and CEO of Nekkar ASA.

Going forward, FiiZK will focus on the sale of closed and semi-closed fish cages, with associated software, maintenance and services. A key part of this effort is FiiZK's new closed cage called "Protectus", which is based on the best solutions from the company's three previous models, "Certus", "Ecomerden" and "Starfish". In addition, the company has recently launched "FiiZK FlekZii Cage», which is a semi-closed cage solution that reduces lice infestation.

(ENDS)

Disclosure regulation

This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act.

Contacts

• Ole Falk Hansen, CEO, +47 988 14 184, ir@nekkar.com

About Nekkar ASA

Nekkar (OSE: NKR) is an industrial technology group offering impact technologies combined with high-end software solutions. The group combines 50 years' heritage from the world's number one shiplift company, Syncrolift, with new investments into sustainable, digitalised technology businesses that aim to unlock growth within ocean-based industries such as offshore energy, renewables and aquaculture.