Tom Seaman, Neil Ramsden and Matilde Mereghetti
There will be more consolidation on the sales side amongst Chilean salmon farmers in 2017, which could lead to more mergers in the future, according to a top industry dealmaker.
“The Chilean export industry has been relatively fragmented on the sales side; this has been an issue for years. Now, they have got their heads above the water and they can start to do those kinds of ventures,” Kolbjorn Giskeodegard, the seafood director at Nordea Bank’s equity research unit, told Undercurrent News.
This should develop further, however.
“We think that the consolidation the downstream Chilean salmon producers are undertaking is the beginning of the process that will result in fewer players on the production front as well,” Ignacio Kleiman, managing partner at seafood-focused investment firm Antarctica Advisors, told Undercurrent.
Consolidating on the sales side is “a temporary band-aid, not a permanent solution”, he said. “They are testing the waters and learning to work with partners. Real mergers will need to happen.”