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KINGFISH COMPANY RAISES €32M FOR COMPLETION OF PHASE 2 AND PATH TO PROFITABILITY

KINGFISH COMPANY RAISES €32M FOR COMPLETION OF PHASE 2

Kingfish Company raises €32M for completion of Phase 2 and path to profitability. The Kingfish Company N.V. (the “Company”) has successfully raised EUR 32 million in an unsecured convertible loan (the “Convertible Loan”). The Company experienced significant support and interest from both existing shareholders and new investors to participate in the Convertible Loan. The majority of the Convertible Loan is allocated to existing key shareholders, while EUR 11 million will be allocated to the sustainability-focused Ocean 14 Capital Fund (“Ocean 14”) on the key terms and conditions set out below.

Ocean 14 is an impact fund investing in venture and growth companies and technologies that offer sustainable solutions for the ocean. The Ocean 14 team has over 25 years of aquaculture industry experience including significant experience with RAS technology, further complementing the Company’s list of reputable investors.

The net proceeds from the Convertible Loan shall be used for the purpose of making the Company’s operations cash-positive and finance completion of the Company’s expansion of production capacity in its facilities in Zealand, the Netherlands (“Phase 2”), as well as general corporate purposes.

The background and rationale for the Convertible Loan is described in the Company’s annual report for 2022 and the business update presentation published on April 20, 2023, stating that the Company aims to strengthen its liquidity position by raising additional equity or debt during 2023.

PHASE 2 SCHEDULE UPDATE, CAPEX ESTIMATE REMAINS UNCHANGED

“The successful placement of the Convertible Loan will secure the completion of Phase 2. We are in the process of more than doubling our production capacity to meet the increasing demand for Dutch Yellowtail. The proceeds from the Convertible Loan will provide full funding for the expansion until we reach positive cash flow from operations and sustainable profitability,” said Vincent Erenst, Chief Executive Officer of the Kingfish Company.

“Production in the first of two grow-out systems in Phase 2 began in May 2023. The new facility has been running very well since the start and we are proud to have increased biomass by more than 100 tons in just over one month time. This is a testament to the advanced design and the skills of our team.”, said Mr. Erenst.

According to the revised project plan and timeline, the harvest volume from the farm in Zeeland will start to increase in the first quarter of 2024. Steady state production is expected in the course of 2025. Estimated capex for Phase 2 remains unchanged at EUR 95 million.

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