'Enormously positive' Shetland asset sale drives Grieg Seafood

Leroy Seafood ASA

30/06/2021 08:51

** Shares of Grieg Seafood  GRIA.OL  rise 6% after the
Norwegian seafood maker agreed to sell its Shetland operations
for GBP 164 mln ($226.73 mln)  urn:newsml:reuters.com:*:nASN001E07
    ** The deal with Scottish Sea Farms Ltd, a joint venture
between SalMar  SALM.OL  and Leroy Seafood  LSG.OL , is expected
to close during Q4 2021
    ** Analysts at Kepler Cheuvreux say the sale is "enormously
positive" for Grieg, as the market had been unsure whether the
company would be able to sell its assets
    ** "The company did not state exactly what it would spend
the sales proceeds on, but growth and reduced indebtedness seem
to be the highest priorities, followed by dividends," Kepler
adds
    ** The stock is on track for best day in seven months, with
the share price at its highest since early May
    ** Including today's rise, Grieg has gained 3.5% YTD


($1 = 0.7233 pounds)

 (Reporting by Milla Nissi)
 ((milla.nissi@tr.com))