Greek-Spanish “war” over revenues and use of the name

While the future of Avramar remains complicated, negotiations between the Greek and Spanish subsidiaries are escalating.

A key point is the exploitation of the brand and the management of revenue from sales in the Iberian Peninsula. Avramar Spain continues to withhold amounts that, according to the Greek side, it must return to Avramar Greece. In mid-January, the “backlog” on the Spanish side amounted to 10 million euros, a development that – as “N” has already reported – led Avramar Commercial to terminate the contract with Avramar Imperica, under which fish sales were carried out in the Iberian Peninsula.

Following this move, information indicates that the Spanish side released payments to the Greek company. However, the flows were interrupted again when it was leaked that an agreement had been reached between the Greek banks and Aqua Bridge for the acquisition of the loans and share rights of Avramar Greece.

Although the Spanish subsidiary does not have a strong production base, it leverages its commercial footprint in the Iberian Peninsula and, citing that the brand belongs to the parent company Avramar Seafood, claims exploitation rights, refusing to return the relevant amounts to the Greek subsidiary.

Under the risk of the total “exposure” approaching 30 million euros, the board of directors of Avramar Greece is activating direct exports to Spain and Portugal, according to the model already applied in other European markets. The move aims to limit exposure and regain control over trade flows.

Aqua Bridge’s letter of guarantee pending

Regarding developments for the next day of the Greek Avramar, “N” sources reported that the deposit of the letter of guarantee by Aqua Bridge remains pending as some technical legal details have allegedly emerged.

According to sources closely following the procedures, these are procedural pending matters which are estimated to be resolved immediately and within the next few days the Arab funds will pay 23 million euros (10% of the total price of 230 million euros) provided for in the Memorandum of Understanding signed with the Greek banks.

The deposit of the letter of guarantee constitutes an important “milestone” in Avramar’s case. Of course, speed is relative as a period of 60 days is already foreseen during which Aqua Bridge will be required to pay the full price for the acquisition of the loans. During the same period, a domestic company will also have to be established in order to take over the loans of Avramar Greece, while the requirement remains that the Arab funds will also acquire the shares of the Greek subsidiary. It is recalled that the MoU with the banks provides for the acquisition of the rights to the shares held by the banks.

Amerra’s stance

At the same time, Avramar Seafood’s main shareholder, Amerra Capital Partners, has reportedly signed a preliminary agreement to sell the group to the Canadian group Cooke. Once the transaction is completed, the shareholding will change fundamentally, with obvious implications for the balance between the parent company and subsidiaries.

For the time being, there are no official announcements or further leaks. However, information indicates that the parties involved are seeking communication with the European Competition Commission, whose approval is a prerequisite for completing the acquisition.