High Liner Foods Incorporated, the leading North American value-added frozen seafood company, has acquired the business of Atlantic Trading Company.
Atlantic Trading is one of the largest importers of frozen Atlantic salmon into the US and sells its products into the US retail market. Its premium quality Atlantic salmon fillets and portions are sustainably sourced from Chile and Norway and are sold in frozen, raw (unprocessed) and value-added formats. Atlantic Trading is also a large importer of fresh salmon products.
Photo by Melissa Doroquez, Flick Creative Commons.
Atlantic Trading’s revenues range between $75m and $80m annually. High Liner Foods expects the acquisition to more than double its sales in salmon products, and for the margins on Atlantic Trading products to be comparable to those achieved on similar products sold by the company.
“Our vision is to be the leading frozen seafood supplier in North America and a key component of our strategy is to acquire profitable and complementary businesses like Atlantic Trading,” said Henry Demone, CEO of High Liner Foods. “Atlantic Trading sources some of the finest Atlantic salmon available today and will enhance product offerings to our customers.”
“Selling Atlantic Trading to High Liner Foods is a natural fit,” said Knut Skabo, president of Atlantic Trading. “Atlantic Trading’s reputation is built on providing consumers with high-quality salmon selections and an unwavering commitment to sustainability. I’m confident High Liner Foods will continue these efforts and look forward to working with them to ensure a seamless change in ownership.”
High Liner Foods doesn’t anticipate making any changes to the operations of Atlantic Trading following the acquisition, and expects the acquisition will be immediately accretive to earnings, after considering the impact of incremental interest costs related to financing the acquisition, and excluding the impact of one-time costs associated with the acquisition, which will be expensed in the current period. The acquisition will be financed with existing credit facilities.
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