Nordic Aqua secures RMB 300M to expand Ningbo salmon operations

Nordic Aqua Partners secures RMB 300 million equity injection for Ningbo RAS salmon farm

Nordic Aqua Partners, headquartered in Oslo, announced a new financing package on 25 September that brings RMB 300 million (about USD 42.1 million / EUR 35.8 million) in cash from two unnamed Chinese investors in exchange for a 20 percent equity stake in its China unit. The transaction values the Ningbo subsidiary at a pre-money valuation of RMB 1.2 billion (approximately USD 168.3 million / EUR 144.4 million) and opens the door to further bank financing and a potential IPO in China or Hong Kong.

Key terms and conditions

The equity investment targets the subsidiary that operates the land‑based Atlantic salmon facility in Ningbo. The deal is subject to final approval by company shareholders at an upcoming general meeting. The two investors were described as respected local entities but remain unnamed in the company release.

Use of proceeds and project scope

The company says the cash will be used to complete Stage 2 construction at the Ningbo facility and to fund the next phase, Stage 3, which will lift annual production capacity to 20,000 metric tons when fully built. Stage 2 capex was revised down to EUR 65 million from a previous estimate of EUR 77 million, and EUR 30 million of that Stage 2 capex had already been accrued as of 30 June.

Timeline and development plan

Construction for Stage 2 is reported to be progressing on plan, with first harvest from Stage 2 targeted for the third quarter of 2026. Detailed engineering for Stage 3 is planned in 2026, with construction expected to start in late 2026 or early 2027 subject to a final investment decision and first harvest anticipated in 2029. Long-term rights to the land and facilities for Stage 3 are in place via a 30‑year lease.

Bank financing and wider financing package

In parallel with the equity investment, Nordic Aqua has reached an early-stage agreement with the local branch of a major state bank and other significant Chinese banks to provide long-term financing. The company characterizes the combined equity and bank financing package as intended to secure a stable platform for completing and expanding production in China; management notes that large industrial investments typically require both equity and long-term bank credit.

Operational background and recent issues

The company has been expanding into land‑based salmon farming in China since 2023. In June 2024 a harvest of 190 metric tons was removed from the market due to elevated geosmin levels, an odorous compound that is harmless but causes a strong off‑flavour in salmon. To address the issue, the company invested about EUR 19 million in technical upgrades including additional protein skimmers, vacuum UV systems, increased ozonation capacity, revised biofilter protocols and added water capacity. Management reported that operations resumed after the upgrades and that the Ningbo facility was back on track.

Recent operational and financial performance

Management reported solid biological performance through late 2024 and into 2025, with sub‑1 percent mortality in Q4 2024 and the ability to produce 7 kg fish at scale without maturation after system upgrades. Commercial harvest in Q2 2025 totaled 756 tonnes HOG with an average weight of 4.6 kg and 99 percent of production graded as superior. Q2 2025 revenue was EUR 5.1 million at an average sales price of EUR 6.74 per kg, and operating EBIT in Q2 was negative EUR 2.6 million as the business remains in an early commercial ramp-up while investing in expansion. H1 2025 revenue reached EUR 6.5 million. The balance sheet at the end of June showed EUR 13.3 million in cash and an equity ratio of 45 percent.

Strategic rationale and market positioning

Management frames the equity partners as strategic minority investors meant to strengthen local ties and support scaling of operations in Zhejiang Province and beyond. The package is presented as part of a plan to build local production capacity to serve premium segments of the Chinese market, including repeat retail and hospitality customers. The company is also evaluating an initial public offering for the Ningbo unit in mainland China or Hong Kong as a potential next step.

Approvals, risks and next steps

The transaction requires shareholder approval. Risks cited by the company’s updates include execution risk on construction and commissioning, continued technical and biological performance, the need for long-term bank support, and market pricing volatility during early commercialization. Next milestones to watch include the shareholder vote, finalization of bank facilities, Stage 2 commissioning targets, and the timing of any IPO decision.

Contextual financing history

The company previously completed a private placement of EUR 30 million to support ongoing development. The current equity tranche and the reported early-stage bank agreements form part of a broader financing framework intended to support both the existing Gaotang facility and the Ningbo expansion.

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Key project facts at a glance