Benchmark Holdings (BMK) , the aquaculture health, nutrition and genetics business, told investors on Wednesday it has the opportunity to take control of a salmon breeding operation in Chile.
AquaChile, its Chilean breeding and genetics joint venture partner, has been acquired by Agrosuper, leaving Benchmark with the chance to take control of the operation and “pursue an independent strategy”.
Benchmark said it is in discussions with AquaChile to dissolve the joint venture, return its original equity investment, IP rights, the genetic stock and biomass, along with the resources to operate the 50 million egg facility.
Benchmark expects to reinvest the returned funds in the wholly owned business in the coming years to enhance biosecurity and achieve full scale production at the bio-secure, land based facility.
The company generated £151.5 million in revenue last year and is on a mission to drive sustainable growth in the food chain with technological innovation.
Aquaculture plays a big and increasing role in meeting the global protein demand, which is expected to double by 2050 according, to the United Nations.
Chile is the world's second largest salmon producing country, and "an important market" in Benchmark's long term strategy.
Malcolm Pye, Benchmark Chief Executive, commented: "We are pleased to have the opportunity to fully own the world class salmon breeding facility currently owned by the JV and to reinvest the funds to move towards full scale production and commercialisation.”
"Whilst this marks a change to Benchmark's approach to the market, it is a positive step towards fulfilling our key objective of accelerating our establishment of a strong local presence in this important market, in line with our strategy."
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