Merger talks cease between Sanford and Sealord

1.00pm

Sanford announced this morning that it is no longer in merger talks with Sealord Group Ltd and Pacific Marine Farms Ltd.

In a statement to the stock exchange, Sanford said discussions and investigations had been constructive.

"However, there were issues that were not able to be resolved to the satisfaction of the boards of all companies and it was agreed that discussions on a formal merger would not proceed further."

In March, Sanford revealed it was in talks with the firms about a possible merger. One possible scenario discussed was a three-way merger under Sanford's listed structure, with Sanford shares being issued in exchange for ownership of the businesses based on relative valuations of the various enterprises.

Sanford is the country's only publicly listed fishing company. Its shares were unchanged at $4.95 shortly after this morning's announcement, having traded between $4.65 and $5.85 over the past 12 months.

Sealord is 50 per cent owned by the Treaty of Waitangi Fisheries Commission and 50 per cent by Japanese seafood company Nippon Suisan Kaisha Ltd (Nissui). Pacific Marine Farms Ltd is 100 owned by the Treaty of Waitangi Fisheries Commission.

- NZPA