October 3, 2023

By Lynda Kiernan-Stone, Global AgInvesting Media

Lima, Peru-based international fishing and processing group Oceano Seafood has acquired Sea Fresh USA, one of the largest suppliers of premium, wild-caught squid in the U.S., for an undisclosed amount, representing not only Oceano’s expansionary goals, but its first acquisition in the U.S. 

Founded by company president James Fox in 1981, Sea Fresh is a fully integrated business with fishing, unloading, processing, and packing operations. It owns and operates its own fishing vessels docked in Galilee, Rhode Island, under the name Handrigan Seafoods, and controls a British Retail Consortium-approved processing facility in North Kingstown, Rhode Island. 

The company’s affiliated dock (Handrigan Seafood) unloads and buys fish, and provides ice and other services to dozens of local independent and company-owned fishing vessels. 

With a turnover in the area of $50 million, the company supplies Marine Stewardship Council (MSC)-certified Ilex and loligo squid, clean and whole loligo calamari, sushi tuna and fluke, whole fish, and monkfish, skate, and scup filets.

Oceano Seafood is one of the top frozen seafood exporters in Peru, operating five plants across the country processing Humboldt and giant squid. It also has operations in Spain and includes Bluefish Oceanmar – a trading company focused on pelagic and seafood, Oceano Foods – a manufacturer of value-added foods for sale on the domestic market, and a logistics business.

Antarctica Advisors, the leading U.S.-based investment banking firm providing corporate global seafood clients with specialized M&A advisory, private equity, and debt capital raising services, acted as the exclusive investment banking advisor to Sea Fresh throughout this transaction.

The firm explained that non-U.S. citizens may only own 25 percent of U.S. fishing vessels and licenses. However, there’s no cap on ownership stakes for non-citizens for land-based assets, giving Oceano the greenlight for this entire acquisition as long as Handrigan Seafoods is included in the deal. 

“Sea Fresh provides Oceano direct access to the U.S. market with a brand recognized for its high-quality fresh Squid products,” said Ignacio Kleiman, managing partner, Antarctica Advisors. “We very much appreciated the opportunity to have worked with Sea Fresh’s team and look forward to watching the company’s continued growth.”

“Oceano has been a customer of ours for several years and we are excited to be their first acquisition in the U.S. market,” added James Fox, owner, Sea Fresh. “We are thankful to have worked with the Antarctica Advisors team who played a key role in helping us navigate this complex transaction process. Their senior banker M&A advice was critical to structuring and negotiating the best possible transaction for me and my employees.”

Global demand for squid is influenced by the complex intersection of economic, cultural, environmental, and technological factors. With a very rapid rate of growth and short life span, squid are high-transferers of energy to the food chain. And as health-conscious consumers increasingly look to add fish and seafood in their diet, global demand has been growing due to its rich nutritional profile and being a prime source of protein, healthy fats, vitamins, and minerals.

Key regions of demand are the U.S., the EU (Spain is the fourth largest importer of squid in the world), China, Japan, India, and Southeast Asia, driving value expectations for the market to more than US$11.6 billion by the end of 2025. 

“It is an honor to continue Jim Fox’s legacy and to join the company’s experienced management,” said Ignacio Tirado, president,  Oceano Seafoods. “We aim to continue investing and growing the business in the U.S. and integrate our global sourcing capabilities into it.”

~ Lynda Kiernan-Stone is editor in chief with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and  Agtech Intel News, as well as HighQuest Group’s Unconventional Ag. She can be reached at lkiernan-stone@globalaginvesting.com.

*The content put forth by Global AgInvesting News and its parent company HighQuest Partners is intended to be used and must be used for informational purposes only. All information or other material herein is not to be construed as legal, tax, investment, financial, or other advice. Global AgInvesting and HighQuest Partners are not a fiduciary in any manner, and the reader assumes the sole responsibility of evaluating the merits and risks associated with the use of any information or other content on this site.