Seafarms Group raises another $24 million for world class project
THE quest to build one of the world’s biggest prawn farms near Darwin has received another $24 million boost
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THE quest to build one of the world’s biggest prawn farms near Darwin has received another $24 million boost.
The Seafarms Group has raised another $24 million from investors, including its partner in the project, Japanese seafood giant Nissui, for its $1.5 billion Project Sea Dragon prawn farm at Legune Station.
It has raised $20 million under a placement and will conduct a share purchase plan to raise up to $4 million along with a $3 million debt to equity conversion.
The offer documents in relation to the Share Purchase Plan were sent to eligible shareholders on Monday.
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The Share Purchase Plan closes May 1. Project Sea Dragon has been busy with expressions of interest and tendering processes for packages of work at the Legune Station and Bynoe Harbour facilities.
The staged development over seven years, will create 10,000ha of ponds capable of producing 100,000 tonnes of high-quality Australian black tiger prawns each year.
The first stage is under construction with major works to step up this dry season, generating at least 1500 jobs and production is expected in 2021.
The Federal Government has renewed major project status for the Sea Dragon development.
“Since the company’s last capital raising in June 2017, Seafarms has secured the material approvals and licences necessary to develop Step 1 of Stage 1 of the world class Project Sea Dragon,” Seafarms executive chairman Ian Trahair said.
“We have also secured a global seafood partner Nissui and only recently and importantly secured a 90-year sublease agreement at our major development site – Legune Station.
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“The placement highlights the strong sophisticated investor support for the project. The share purchase plan ensures our loyal shareholder base is able to participate in the issue and the debt to equity conversion highlights my own confidence in this … development.
“Seafarms has formally notified our global industry partner Nissui of this capital raising.”