Investor Presentaiton
ICELAND
ISI SEAFOOD
Q3 2023
Presentation to Investors
and Analysts
(16,26)
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The sale of Iceland Seafood UK (ISUK) to
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Espersen completed on September 27th 2023
Espersen A/S is a Danish value-added producer, with factory operations in Europe and Asia, with significant
part of its sales into the UK retail market,
Property, machinery and equipment kept by ISI but leased to Espersen post transaction. Ownership of
machinery will transfer to Espersen at end of lease period, and they have option to buy the property at end
of the lease. These assets were revalued at £3.1m in the balance sheet at 30.6.2023 based on valuation of
leasing agreements. Impairment of £7.1m included in loss from discontinued operation related to the
revaluation,
Intercompany loans from ISI to ISUK of £10.3m converted to equity prior to completion. Further injection
required to net out negative equity and contribute to projected EBIT losses in the period from September
to December 2023, Book value of equity at completion amounted to £0.3m, and were sold at £1,000,
The ISUK operation have had severe negative impact on the Group operations and
financial results during the last 3.5 years,
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Negative P&L impact during 2023 until the sale is £16.26m. Of that £12.02m were included in the 1H 2023
results and £4.24m are impacting P&L in Q3,
As previously announced, a consent was gathered for the sale from bondholders of bonds in the series
ICESEA 2506, in the amount of ISK 3.400m. This consent was needed to one of the conditions of the bond,
as assets representing more than 5% of Group turnover were sold. To compensate bondholders for
granting this consent, interest rates of the bond were amended to reflect changes in market conditions. As
a result the fixed interest rate in ISK increased from 5.65% to 13.00%.
Impact of ISUK on ISI Group P&L 2023
GBP'000
Operational results 1H 2023
(4,43)
Provision against inventory
(0,52)
Impairment Property
(3,05)
Impairment Equipment
(4,02)
Total impact in 1H results
(12,02)
Results Q3 until completion.
Provision against inventory
(2,74)
(1,22)
Sales loss of shares
(0,29)
Total impact 2023
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