Salmon farming company faces heavy loss

Investors in salmon farming and fishing krill have nothing to gain as the disease devoured salmon and krill fisher is at risk.

The Norwegian born shipping and salmon farming magnate, Kjell Inge Røkke, has experienced a heavy loss on his share in the world's largest salmon farming company, Marine Harvest ASA. He has also invested in Aker BioMarine ASA, a company fishing krill in the Antarctica, which has turned sour. The situation of these businesses is so critical that the largest financial daily in Norway refers to it as “a nightmare for the shareholders”.

The shareholders of these companies have suffered major set back. The shares had risen to NOK 57.00 last year but after that it decreases down hill slide and were sold at NOK 16.80 last week. The low hit last week represents a fall of 70.5 percent from the top recorded eight months ago. Even the market value of the company has gone down from NOK 5.2 billion to only NOK 1.5 million.

But the company has no plan to bring any changes in business and products. However, last year the productions were also bit lower than what has been expected because there was bad ice condition. Now the investors are taking back their money from exotic and high-risk investments.

Source: "

WorldFishingToday d. 28-01-2008