Oslo Børs fines Gigante Salmon over information failure

Norwegian fish farmer Gigante Salmon has been rapped by the Oslo Børs for breaching the duty to disclose inside information.

The Euronext Oslo Børs, Norway’s stock exchange, has also imposed a fine or infringement fee of NOK 220,000 (£15,500) on the company.

The Børs announcement said that in March this year the company announced an increase in the cost forecast of NOK 350m (about £25m) for the continued construction of the company’s fish farm at Rødøy in Nordland (pictured).

The Børs continued: “It is Euronext Oslo Børs’ assessment that the increase in the cost forecast constituted inside information on 13 March 2024 at the latest, and that the company’s duty to inform the market arose at the same time.”

Instead, the Børs said, it took six days, including three trading days, for the company to disclose that information.

The statement continued: “The company did not make a timely assessment as to whether inside information was present.

“The relatively short duration of the breach and the company’s limited financial strength are mitigating circumstances. Based on an overall assessment, Euronext Oslo Børs has resolved that the violation charge shall be NOK 220,000.”

The company said that it respects the stock exchange’s decision and it will pay the penalty.

Gigante Salmon’s aquaculture concept is based on a flow-through system that combines the advantages of both conventional and land-based aquaculture, and eliminates challenges associated with conventional sea-based farming, such as lice and escapes.

This, says the company, helps to improve fish welfare and reduce mortality, emissions, feed wastage and burden on the local environment.

Oslo Børs