South African investment holding company Brimstone said on Monday its subsidiary Sea Harvest had entered into negotiations to acquire the entire fishing business of Viking Fishing.
Brimstone, which has a 54.9% stake in Sea Harvest, said a consortium of broad-based black economic empowerment investors led by Sea Harvest would purchase various assets and businesses from, and shareholdings in, Viking Fishing and certain subsidiaries, affiliates and joint venture partners.
Sea Harvest was also looking to buy 51% of the issued share capital of Viking Aquaculture.
“The proposed transaction is subject to the fulfilment of a number of conditions,” Brimstone said, urging shareholders to trade cautiously in its securities.
The Sea Harvest Group is a fishing and food business with operations in South Africa and Australia which services customers in 22 countries.
Brimstone Investments, a black owned Cape-based investment consortium, first invested in Sea Harvest in 1998 and acquired control in 2009.
Sea Harvest’s principal business is fishing hake and prawns, processing the catch into frozen and chilled seafood, and marketing the products both locally and abroad.