Business
High Liner Foods Announces Acquisition of American Pride Seafoods
LUNENBURG, NS , Oct. 1, 2013 /CNW/ - High Liner Foods acquires value-added frozen seafood...
About this update from High Liner Foods Incorporated
[{"type":"text","content":"\n\n\nLUNENBURG, NS, Oct. 1, 2013 /CNW/ - High Liner Foods acquires value-added frozen seafood and scallop\n processing businesses (all figures are in U.S. dollars (\"USD\") unless\n otherwise noted) --\n\n\nHigh Liner Foods Incorporated (TSX: HLF) (\"High Liner Foods\" or \"the\n Company\"), the leading North American value-added frozen seafood\n company, announced today it has acquired the principal assets and\n operations of American Pride Seafoods LLC (\"American Pride\") from\n Seattle-based American Seafoods Group LLC (\"American Seafoods Group\").\n\n\nAmerican Pride is primarily a value-added frozen seafood foodservice and\n scallop processing business based in New Bedford, MA. The acquisition\n is expected to bolster High Liner Foods' market leadership position in\n the foodservice segment of the U.S. value-added frozen seafood\n industry, and also results in the Company adding significant U.S.-based\n scallop processing operations to its business portfolio.\n\n\nHigh Liner Foods paid $34.5 million in cash proceeds, subject to closing\n working capital adjustments, to acquire American Pride's tangible\n assets, which principally include inventory, plant and equipment\n located in New Bedford, and excludes accounts receivables of\n approximately $15.5 million, for a total enterprise value of\n approximately $50 million.  As part of the transaction, the Company\n assumed certain operating leases related to the acquired businesses. \n High Liner Foods does not expect any material intangible assets will be\n recorded in its financial statements as a result of the acquisition.\n\n\n\"Our vision is to be the leading frozen seafood supplier in North\n America and a key component of High Liner Foods' strategy is profitable\n growth through acquisitions like American Pride, that complement our\n business and should strengthen our leadership position within the\n seafood industry,\" said Henry Demone, CEO of High Liner Foods. \n \"American Pride is well-established in many key market segments and\n known for offering its customers quality and value.  This transaction\n should create incremental value for our shareholders and bring us one\n step closer to achieving our vision.\"\n\n\nAmerican Pride's branded and private label products are primarily\n distributed in the U.S. to foodservice customers in the comme...