The largest salmon processing company in Shetland has announced the acquisition of local company Northern Aquaculture Ltd.
Norwegian-owned Grieg Seafood Hjaltland Ltd has bought Northern, which includes four production sites in the west of Shetland and a capacity of 2,900 metric tonnes, for a total cost of £1.8 million.
Northern Aquaculture Ltd was owned by Ivor and Angus Johnson, who also own Johnson Sea Farms Ltd and also sold the No Catch fish processing firm to Grieg Seafood Hjaltland.
Company director Ivor Johnson said the sale had come “at the right time”. He said: “There is more and more legislation coming in all the time and it was just the right time to sell, to allow a bigger company who might be more flexible a chance to take over.”
He said the Johnson brothers would now be concentrating on the service side of the aquaculture business.
A spokesoman for Grieg Seafood Hjaltland said the takeover was an “ideal fit” as it currently has production on two of the four sites under a contract growing agreement which is to be terminated on completion of the sale.
The takeover will also therefore be beneficial in terms of bio-security, as Grieg Seafood Hjaltland will be the sole operator in the area.
The company currently has 30 salmon farming sites around Shetland. It produces one third and processes 65 per cent of the isles’ total salmon produce.