Mubadala Investment sells its stake in AVRAMAR to Amerra Capital

Abu Dhabi’s sovereign wealth fund, Mubadala Investment, as reported by El Economista, has sold its stake in Avramar Seafood to its partner, Amerra Capital, the US-based private equity, private debt, and special situations investment manager.

AVRAMAR, headquartered in Valencia, is the largest producer of sea bass, sea bream, and meagre in the Mediterranean, with operations in Spain and Greece. The group was formed through the merger of Andromeda, Nireus, and Selonda, companies covering everything from fry production to grow-out farms and fish feed production in eastern Spain and Greece.

The sale of Mubadala Investment’s 43.08% share is seen as a precursor to the subsequent sale of the Greek division to a new buyer.

Despite generating over €450 million in annual revenue, AVRAMAR is dealing with substantial debt following expansion through acquisitions and a drop in profitability, exacerbated by the pandemic and inflation crisis.

A few days ago, it was reported that the company had reached an agreement with Spanish banks to secure working capital financing as well as initiate a process of restructuring and asset sales, mainly in Greece, to aid in refinancing its debt.

The Spanish division of the company remains optimistic about the potential for business growth in the country, with plans for continued expansion.

The sale of Mubadala’s stake to Amerra is still subject to approval from competition authorities due to AVRAMAR’s significant presence in the Mediterranean.

AVRAMAR in Spain

AVRAMAR, visita granja El Campello. |F: Som Campello

The future of Avramar in Spain looks promising, with plans to continue innovating in aquaculture technologies and expanding its production capacity.

With Spain selected as the epicentre of operations and the base from which to lead its most significant research and development projects, Avramar is focused not only on expansion but also on pioneering innovations that promote more sustainable and responsible aquaculture.

The publication of its first sustainability report is a testament to its commitment to practices that respect both the environment and local communities.

Avramar has also implemented advanced techniques to ensure animal welfare, including the adoption of humane stunning methods at its marine farms. This practice not only reflects ethical responsibility but also enhances the quality of the final product – a factor increasingly valued by conscientious consumers.