Sheffield-based Benchmark, an aquaculture genetics, specialist nutrition, and health business, has entered into a binding agreement to sell the company’s genetics business area to Starfish Bidco, a wholly owned subsidiary of Novo Holdings.
The deal, by way of the disposal of Benchmark Genetics Limited and Benchmark Genetics Norway AS and their respective subsidiaries, represents an enterprise value of up to £260 million, including an initial consideration of £230 million and additional contingent consideration of up to £30 million.
The disposal will enable the company to focus on its advanced nutrition and health business areas, and creates an opportunity to reduce complexity and streamline the current group structure to significantly reduce costs.
Trond Williksen, Benchmark CEO, said: “I am pleased to announce this agreement to sell our genetics business to Novo Holdings. The Transaction will unlock significant value and enable us to return capital to shareholders.
“The Disposal will also allow us to focus all our efforts on developing the significant potential of our continuing business areas, Advanced Nutrition and Health. In addition, it will enable us to reduce complexity and streamline the Group structure to significantly reduce costs.
“I would like to thank all our colleagues who have been working tirelessly this year to deliver a robust performance amidst difficult market conditions. Novo Holdings will be an excellent new owner of the genetics business and is in an ideal position to take the business forward.”
Aleks Engel, Partner at Novo Holdings, said: “We are very pleased to announce plans to acquire the Benchmark genetics business from Benchmark Holdings. Both animal and plant genetics hold immense potential to transform the global food industry, enabling more efficient and sustainable ways to feed a growing population.
“In particular, advancements in aquaculture genetics, such as those in the salmon industry, present significant opportunities to improve productivity, resilience, and environmental outcomes.”
