Global salmon producer proposes $1.7bn acquisition of Tassal Group
Cooke Aquaculture has entered a $1.7 billion scheme implementation deed for the proposed acquisition of Tassal Group, further expanding its global market share of salmon production.
Firm: Allens (Cooke), Herbert Smith Freehills (Tassal Group)
Value: $1.7 billion
Area: Mergers and acquisitions
Key players: The Allens team was led by co-partners Wendy Rae and Hannah Biggins. The HSF team was led by partner Tony Damian and senior associate Amelia Morgan, with assistance from senior associate Jennifer Xue and solicitor Michael Kralic.
Deal significance: Cooke will acquire the entirety of Tassal’s shares at a price of $5.23 per share. With Tassal being the largest producer of Tasmania-grown Atlantic salmon and listed on the ASX since 2003, Cooke will continue to expand its market stance in global salmon production.
Ms Rae expressed the acquisition’s significance and commented that “the deal [will help] Cooke to close in on becoming a top five producer of salmon, globally”.
Tassal has remained the largest Tasmanian salmon producer in Australia since 2010. The group owns marine farms located across five aquatic zones and holds four Tasmanian production facilities. The deal correlates with growing investor interest in the Australian food and beverage industry from larger organisations.
Ms Biggins added that “Cooke’s acquisition of Tassal is a natural fit. This deal represents a great opportunity for additional investment in the Tasmanian aquaculture industry.”
Mr Damian added that HSF was “delighted to be advising Tassal on this important cross-border transaction. The proposed deal demonstrates the continued strength of M&A activity in the Australian market.”
The transaction is expected to be finalised by late 2022, following court and shareholder approval.