IS Haf investments becomes majority shareholder of Thor Landeldi land-based salmon farm project

CORRECTION: Thor Landeldi is not related to First Water, previously named Landeldi. These are two separate companies, though both are located west of Thorlakshofn and both are building land-based salmon farms. 

IS Haf has acquired a 53 percent share of Thor Landeldi, which is developing a 20,000-metric-ton Atlantic salmon farm in Laxabraut, Iceland.

The Icelandic investment fund, created in February 2023 by Íslandsbanki’s mutual fund management firm Íslandssjóðir (Iceland Funds), has ISK 10 billion (USD 73 million, EUR 70 million) under management, and is focused ocean-related investment opportunities in the fishing, aquaculture, aquatech, marine infrastructure development, ocean products marketing, and marine biotechnology sectors. Its largest investors are Brim and Útgerðarfélag Reykjavíkur, also known as UR Seafood, which is a cornerstone investor in the fund.

“With ÍS Haf's cooperation with Iceland's most experienced salmon farmers, we are creating a framework to maximize the likelihood of profitable investment in this new industry in Iceland," UR Seafood Managing Director Runólfur Viðar Guðmundsson said.

Seaborn Chief Commercial Officer Frank Yri and Seaboard Chair Alex Vassbotten, two Norwegian investors, have also become partners in the shareholding, according to a press release.

“The fast-developing salmon farming sector in Iceland requires a strong investor participation alongside industry experts,” IS Haf Investments Managing Director Kristrún Auður Viðarsdóttir said. “There is a great need to strengthen the infrastructure of salmon farming to keep up with its foreseeable growth, and the smolt production is a basic prerequisite for the successful growth of salmon farming both on sea and land. IS Haf's investment in Thor Landeldi marks the beginning of a journey which is integral to the development of this recent high-growth industry.”

The new funding will fund the construction of a hatchery, which is currently undergoing environmental assessment. The company said it expects to place its first roe in the hatchery in fall 2024.

The project is being led by by Jónatan Þórðarson, who formerly worked as head of aquaculture at Ice Fish Farm; Þórður Þórðarson, the former managing director of Fiskeldi Austfjarða; and Halldór Ragnar Gíslason, who previously worked in the corporate finance division of Arion Banki.

“Representatives of Thor Landeldi welcome IS Haf's involvement in the development of the company, which paves the way for the company's ambitious plans to develop large-scale land-based salmon farming,” Þórðarson, Thor Landeldi’s farming manager, said. “Land farming of salmon is one of the most environmentally friendly options for producing high-quality protein today. A lot of experience has already been gained in Iceland thus far and it is therefore a very interesting option for investors."

Photo courtesy of IS Haf