Benchmark Holdings Regulatory News (BMK)

1 July 2020

Benchmark Holdings

("Benchmark" the "Company" or the "Group")

Sale of veterinary and diagnostic services business

Benchmark Holdings, the aquaculture genetics, health and advanced nutrition company, announces that it has completed the sale of its wholly owned subsidiary FVG Ltd. ("FishVet") to Pharmaq, part of the global animal health company Zoetis, for a total cash consideration of £14.4 - £14.7 million. The sale comprises Benchmark's veterinary and diagnostic services activities in the UK, Ireland, Norway and Chile. The final consideration will depend on certain final costs to be borne by Benchmark.

The transaction is another significant step in Benchmark's strategy to exit non-core areas and focus on its key disciplines in the global aquaculture markets. The sale of FishVet together with the sale of Improve International announced on 23 June, raised in aggregate c. £27.25m including £3.25m in deferred consideration, in line with expectations. The sale significantly strengthens the Group's financial position and liquidity. To date, the Company has sold or exited seven businesses generating up to £30.3m in cash proceeds including £3.75m in deferred consideration.

Having successfully exited these businesses as planned, the Company continues to progress the review of its vaccine strategy and the exit from its activities in companion animal products.

Trond Williksen, CEO, commented

"I am very pleased to announce this transaction, the proceeds of which together with those from the sale of Improve International last week, are in line with our expectations. These disposals represent a significant step forward in our strategy to become a streamlined, profitable business focused on our key areas of competency."

"The FishVet team is a highly talented group. I would like to thank every member of the team and wish them success in the future."

Katie Hunt, Reg Hoare, Alistair de Kare-Silver benchmark@mphc.com

About Benchmark 

Benchmark's mission is to enable aquaculture producers to improve their sustainability and profitability.

We bring together biology and technology, to develop innovative products which improve yield, quality and animal health and welfare for our customers. We do this by improving the genetic make-up, health and nutrition of their stock - from broodstock and hatchery through to nursery and grow out.

Benchmark has a broad portfolio of products and solutions, including salmon eggs, live feed (Artemia), diets and probiotics and sea lice treatments. Find out more at www.benchmarkplc.com