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Land-based salmon farmer gets loan offer from Japanese bank

The loan offer is intended to finance Proximar's facility and production of Atlantic salmon at the foot of Mount Fuji in Japan.

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January 9, 2023


Proximar Seafood AS has, through its Japanese subsidiary Proximar Ltd., received a loan offer from a Japanese bank for a post-construction loan of JPY 4 billion (USD 30 million). The senior secured loan offer is intended to finance Proximar's facility and production of Atlantic salmon at the foot of Mount Fuji in Japan.

“Securing debt financing is a key priority for Proximar. In October, we successfully initiated the production phase at our facility in Japan, and this loan offer demonstrates the robustness in our business model. It also shows that we are able to attract credit providers in the funding of Proximar's activities going forward,” said Joachim Nielsen, CEO of Proximar.

The company's dialogues on remaining construction loan financing have, to a large extent, been pending visibility on post-construction debt financing. “This offer is a stepping stone in our post-construction financing plan. With the received offer, construction loan discussions are now also expected to progress more efficiently,” Nielsen said. Proximar has previously secured a loan from JA Mitsui Leasing of JPY 3.25 billion (USD 24.6 million), which is required to be refinanced in March 2024.

‍Entering production phase in October

The facility construction is developing according to the schedule with more than 80% of the civil works already completed and construction costs on a budget. Currently, the installation of production tanks is ongoing in the grow-out building.

The second batch of eggs was inserted in December. The first batch, inserted in late October, has successfully hatched and will, in a short while, be brought into the first feeding department which was commissioned in December.

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