The aquaculture sector faces a clear reality: a continuing drop in fish consumption paired with rising financial and operating costs that are tough to swallow. The market remains crowded with challenges in key fisheries. As a result, at least three sector players—Fandicosta, Actemsa, and Atunlo, according to Prensa Ibérica’s Faro de Vigo—have turned to bankruptcy protections due to severe treasury strains, with more companies potentially at risk. Negotiations are underway to weather the storm more effectively or to resolve lingering uncertainties. Catalan Frime, Spain’s second-largest salmon producer, is seeking a banking pool to syndicate roughly 50 million euros in currency, a development the newspaper has learned. The aim is to secure a bilateral arrangement that could be improved by leveraging different assets across various lines, a factor cited by sources familiar with the process. The parties involved expect to reach a deal by year end or early next year.
The purpose of these efforts is twofold: to avoid cyclical and evaluative bank negotiations and to stabilize the financial position. The proposal on the table contemplates extending the currency window from one to three years, with the possibility of two extensions (1+1) aligned to certain economic conditions. EY was selected by Frime to provide consulting services and to prepare an independent business review. Like many peers in the sector, Frime has made substantial investments in recent years to streamline production processes and maximize raw material utilization. The La Roca del Vallés facility alone required around 25 million euros. Banks indicate that expanding industrial capacity is a key factor driving the ongoing negotiations.
Deals
Market sources, however, caution against reading the situation as a crisis. They project that Frime will close the year with an operating cash flow of about 25 million euros, with around 14 million earmarked for repaying bank debt to finance the next growth phase. The message from insiders is clear: there is no need for fresh capital, and the long-term financial structure will remain intact. In addition, it is noted that sales have not declined for all products, such as loin and tuna portions, a resilience attributed to long-term distribution agreements with horeca channels and retail chains that keep revenue steady. [Source: Faro de Vigo]
The annual accounts reveal a high inventory turnover, a factor that pressures cash flow at players like Atunlo. Analysts attribute this to the decision to procure and currently estimate the stock at roughly 65 million euros. In such a situation, it is common to see liquidations of raw materials at significant discounts or even bulk sales, though the parties emphasize stability with customers and ongoing negotiations to avoid urgent measures. They believe that performance may improve, projecting a 50 percent reduction in tension this year thanks to repeat purchases. Frime’s fiscal year ended with 185 million euros in invoices and sales around 40,000 tons in 2022, underscoring the scale of operations in the sector.