CHINA - Sino Agro Food (SIAF) has begun the creation of a separate aquaculture company, comprised of its aquaculture operations, which it hopes will be listed on the Oslo Stock Exchange.
The company announced that this is to be the first of three or four planned divestitures.
Creating a separate entity is a decisive step towards SIAF's vision to become a leading aquaculture company.
The proposed new aquaculture company will have one single share class and conform to Nordic corporate governance standards. The company will include the bulk of SIAF's aquaculture operations, namely; the Zhongshan prawn operations, Enping City prawn culture and Jiang Men City A Power Fishery Development.
Seeking a listing on the OSE is in line with the OSE's position as the world's largest and certainly one of the most important financial marketplaces for the seafood sector.
For some time SIAF has sought a listing in the Nordic region to facilitate trading of its shares closer to its largest shareholder base. The Company's recent focus has been to achieve a senior listing of the whole SIAF Group on the OSE as soon as practicable, and this process has been in motion since May 2015.
Given that the work required for the listing of the new company is greater than initially estimated, the listing will not occur during 2015.
CEO Solomon Lee commented: "The Company has received feedback from its current institutional investors and major retail shareholders, as well as advisors, that restructuring our businesses as stand alone organizations will create better understood and appreciated businesses bringing more value to our shareholders.
"A separate listing of our aquaculture operations carries the additional advantage of facilitating a listing in Norway; a natural market for making our aquaculture opportunities known."
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TheFishSite News Desk