Tasmanian salmon producer Tassal, has reported rising profits and confirmed it is in talks to acquire Sydney fresh seafood company De Costi.
Tassal has reported a 35 per cent rise in first-half profit to $30.3 million, and has at the same time taken the opportunity to confirm rumours about a De Costi acquisition.
"Tassal wishes to advise that it is having discussions regarding the purchase of the De Costi business," the company said in a statement. "However, there is no certainty that a transaction will eventuate."
Regarding the acquisition, the company said: “Strategically, Tassal is focused on and committed to growing domestic per capita consumption of salmon and ensuring that it optimises its supply chain.
“Further, Tassal has previously stated and continues to believe that strengthening and broadening its offering from salmon to other seafood is “on strategy” - as long as that other seafood supports its sustainability core values and delivers long term shareholder value. Any acquisition needs to be consistent with strategic plan objectives.”
Tuna producer Clean Seas Tuna, meanwhile, has reported a net profit of $3.5 million in the half year to December, lower than the $4 million it reported in the previous corresponding half.
The company said the result was affected by a fall in its research and development tax incentive, but it said it expects its annual profit to rise on the back of growing fish stocks and improving survival rates.
