File image: From left to right, CEO of Premier Fishing and Brands, Samir Saban, Director of Capital Markets JSE, Donna Nemer, Reverend Vukile Mehana of Premier Food and Fishing, CEO for JSE, Nicky Newton-King.

JOHANNESBURG - JSE-listed Premier Fishing and Brands wants to purchase a 53.35% stake in fishing company, Talhado Group for R106m the company said yesterday.

Talhado Group, which is based in the Port Elizabeth harbour, is involved in the catching, processing and marketing of squid, with both sea- and land-based freezing facilities and operates from the east coast.

Talhado and its associated companies own 17 vessels. The group owns a cold room facility, which can store up to 800 tons of squid, Premier said. In a statement to shareholders, Premier said it intended to acquire a 50.01percent in Talhado Fishing Enterprises (TFE).

The company said that it also intended to increase its exposure in the Talhado Group by acquiring minority interests in Rupestris Fishing, Sagittarius Fisheries, Robberg Sea Freeze, MB Fishing Ventures, Dazelle Traders and Manicwa Fishing.

Collectively, the companies made up the Talhado Group. “Premier’s strategy is to grow organically and through acquisitive growth.

"TFE, the asset being acquired, is the largest squid player in the South African fishing market which compliments Premier’s diversification strategy and extends its product basket.

"TFE has a solid asset base in the squid sector and the synergies between Premier and TFE are expected to be realised in the short to medium term which will lead to further efficiencies within the existing operations and the overall group,” Premier said. Premier’s share price was yesterday unchanged at R3.87 a share.

- BUSINESS REPORT