Austevoll Acquires EPAX AS

26/01/07 Austevoll Seafood ASA has acquired 100 percent of the shares in EPAX AS from Ferd Private Equity Fund, EPAX AS has announced.

EPAX AS is a world-leading supplier of concentrated, marine-derived omega-3 formulas developed to target specific health conditions and Austevoll Seafood ASA is a leading company in the pelagic fish, meal and oil industry with processing facilities in Norway, Chile and Peru and with annual income of approximately $375 million USD. The acquisition of EPAX AS fits well into Austevoll's strategy to increase value in the fish oil sector.

"EPAX AS is pleased to be under the ownership of Austevoll Seafood. EPAX AS is now the only significant omega-3 supplier to be fully integrated from fishing to production of high-quality omega-3 oils," said Bjorn Refsum, CEO of EPAX AS. "This acquisition will also give us the opportunity to assure full traceability throughout the supply chain down to each fishing vessel—which really no omega-3 company can do today. This is a response to official requirements and also to increasing customer requests."

Additionally, Refsum noted that because the demand for crude fish oil is increasing from the fish-farming and omega-3 industries, and most of the ocean's capacity is being utilized, the company identified the potential for a scarcity in supply in the future. EPAX AS will be able to minimize this issue through Austevoll Seafood, as the company will be able to expand on its secure access to quantity as well as quality, ensuring that EPAX AS products will continue to meet the high standards for which the company is known.

Refsum also noted the EPAX AS board of directors recently decided on an investment plan to ensure increased production at the Aalesund plant, which will be realized in 2007.