Victor Smorgon Group, the investment company formed by the late patriarch of the billionaire Smorgon family, is selling a strategic stake in its southern bluefin tuna business.
Tony’s Tuna is seeking a strategic investor to help expand operations and is considering selling up to one-third of the business.
An information memorandum for the sale is to be distributed to interested parties soon.
The company owns more than 650,000 southern bluefin tuna statutory fishing rights equivalent to more than 490 tons of the southern bluefin tuna quota. It has the ability to achieve more than 1000 tons of fish output.
The quota is understood to be valued at about $200,000/ton, valuing a one-third interest at more than $40 million.
The deal is expected to attract strong interest from investors in Asia (including large trading houses in Japan), Europe and Canada that are looking at expansion opportunities in aquaculture.
Investors from countries with a strong interest in agribusiness such as Spain, Norway, China and South Africa are also expected to show interest.
Melbourne investment and advisory firm Wingate House is understood to be advising VSG on the sale of the stake of Tony’s Tuna, which is operated in a joint venture with renowned tuna fisherman and horse personality Tony Santic.
VSG was the smaller conglomerate that emerged from the dismantling of the giant Smorgon Consolidated Industries in 1995.
VSG was the smaller conglomerate that emerged from the dismantling of the giant Smorgon Consolidated Industries in 1995. VSG's wholly and partly owned companies include Smorgon Fuels.
As a result, Smorgon Fuels will now ramp up its investments in the industry.
