Favourable growing conditions have helped Coffin Bay-based Angel Seafood Holdings achieve its best-ever March sales, while talks have continued with a potential takeover.
The company, the largest producer of certified organic pacific oysters, reported to the ASX it sold 2.7 million oysters during the third quarter - up 101 per cent year-on-year - with a revenue of $2.2 million.
This was the first year "summer oysters" were sold in March, extending Angel's sales period to a full calendar year.
On top of record sale, biomass has also increased, up 16pc to 435 tonnes.
Angel chief executive officer and founder Zac Halman said the results of the first quarter of the year reflected the growth initiatives of the past 18 months.
"We entered 2022 with a strong stock position, which enabled us to meet the strong demand we saw over the summer period," he said.
"In March we sold our first Summer Oysters, which was a key milestone for Angel, and enabled the company to sell additional stock through a typically quieter period, given oyster spawning season."
Summer Oysters represented 20pc of March sales, with carry-over of stock from December meaning the company did not need to call on the summer oysters in January and February.
"Our other key growth initiatives are all progressing well, and are putting us in a strong position to achieve our aim of reaching production capacity of 20 million oysters a year," he said.
Mr Holman said there was good signs with the flip farms at Cowell, while some minor modifications were required at Coffin Bay to optimise the system and make the infrastructure more resilient.
"Early results are delivering superior quality oysters, with cleaner shells and lower average costs per unit through labour efficiencies," he said.
He said he favourable growing conditions allowed the company to enter the busy Easter period with a strong stock position.
Angel Seafood has also made moves towards a scheme implementation agreement with Laguna Bay and Valley Seas BidCo in respect to BidCo's purchase all the shares in Angel not already owned by Laguna Bay and its associated entities - excepting 16,178,927 shares held by CEO Zac Halman and his affiliated entities.
This is by way of an arrangement at an all-cash consideration of $0.20 per share - a 60pc premium to Angel's closing share price on December 17.
The Scheme is subject to certain conditions, including Angel shareholder approval, Court approvals, Australian Foreign Investment Review Board approval, no material adverse change occurring, certain operational consents being obtained, the cancellation of options, and other customary conditions.
Angel's independent board committee, which includes chairman Tim Goldsmith and director Michael Porter have unanimously recommended that Angel's shareholders vote in favour of the scheme.
The Scheme Booklet will, subject to Court approval, be sent to shareholders along with details of the scheme meeting.
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