Wednesday, 28 August 2019

Omega Protein Corporation Market Research Report & Future Outlook


The Report titled “Comprehensive Profile: Omega Protein Corporation– Largest U.S. Producer of Protein-Rich Meal and Oil Derived from Marine Sources” provides a detailed analysis on Omega Protein which was acquired by Cooke in the year 2017. The report covers various aspects such as Overview of Omega Protein, Synergy between Cookie and Omega Protein and how it helped Cooke Group. It also includes revenue and production volume of Omega Protein business segments (Animal Nutrition and Human Nutrition). The report concludes with few aspects on future trends in seafood production globally and future management guidance.
Omega is a nutritional products company incorporated in Nevada that develops, produces and delivers nutrition products throughout the world to improve the nutritional integrity of foods, dietary supplements and animal feeds. Omega operates in two primary industry segments: animal nutrition and human nutrition. Omega’s animal nutrition segment is comprised primarily of two subsidiaries: Omega Protein, Inc. (“OPI”) and Omega Shipyard, Inc. The human nutrition business operates under the “Tera’s” branded product and “Bioriginal” names. Bioriginal has three primary product lines: specialty oils, protein products and other nutraceuticals ingredients.
Overview of Cooke Group
Cooke is a corporation incorporated under the laws of the Province of New Brunswick, Canada and is an enterprise which is 33 years old. Cooke is the sole shareholder of Cooke Aquaculture Inc. The Cooke Family of Companies (the “Cooke Family”) includes aquaculture divisions under Cooke Aquaculture Inc. (“Cooke Aquaculture”) and seafood divisions under Cooke Seafood USA, Inc (“Cooke Seafood”) and Icicle Seafoods, Inc. (“Icicle”). Cooke Aquaculture is a vertically-integrated aquaculture corporation based in Blacks Harbour, New Brunswick, Canada with salmon farming operations in Atlantic Canada, the United States (Maine and Washington), Chile and Scotland as well as seabass and sea bream farming operations in Spain.
How the Acquisition of Omega Protein helped Cooke Group
The acquisition of Omega Protein was the largest acquisition in the 33-year history of Cooke and it helped to further diversify the supply side of Cooke’s business and supports their strategy of responsible growth as a leader in seafood production globally. The deal brought together two innovative fishery teams with a passion for delivering superior products, service, and value to our customers in a safe and environmentally sustainable manner. From a business perspective, the companies are a strategic fit and the merger makes both companies stronger in terms of their operational capability. The strategic fit of Omega Protein’s fish based nutritional ingredients with Cooke’s strong position in aquaculture feed and farming could lead for greater revenues in the years to come.
Trends and Developments
Aquaculture growth at the world level is expected to continue facing challenges associated with factors that include environmental regulations, diseases related to stocking density and a reduction in the availability of optimal production locations. The popularity of omega 3 fatty acids in the human food diet and the specific characteristics required for feed by the aquaculture sector are assumed to have permanently increased the fish to oilseed oil price ratio and it is not expected that new feeding techniques will change this in the short to medium term. With slower but continuing growth in demand from aquaculture and rather stable supply, the price of fishmeal is expected to grow by a small amount relative to oilseed meals.
Omega Protein’s marine protein and oil business is subject to significant competition from producers of vegetable and other animal protein and oil products. Other globally produced fish oils also provide primary market competition for Omega Protein’s fish oil; soybean and rapeseed oil are an additional source of less direct competition. Omega Protein majorly competes with Daybrook Fisheries (a part of Oceana Group). Other competitors are American Seafoods Group LLC, Archer Daniels Midland Co, Cargill Inc, HQ Sustainable Maritime Industries, Inc., Mondelez International Inc, Nippon Suisan (USA) Inc. etc. The human nutrition segment competes with manufacturers, distributors and marketers of food and dietary supplement ingredients both within and outside the United States, Canada and Europe. The main competition parameters on which Omega Protein competes are price, quality and performance characteristics of its products, such as protein level and amino acid profile in the case of fish meal.
The animal feed ingredients produced by Omega Protein are an important component in Cooke Aquaculture’s production of healthy Atlantic salmon, which will greatly enhance Cooke’s vertical integration and help in being the global leader in seafood production. Omega Protein Shipyard, now part of the Cooke Inc will help in expanding the overall capabilities of the company’s fleet. For instance, in July 2019, Omega Shipyard, christened the F/V Southern Star, which will be used by Cooke Uruguay, a sister division of Omega Protein under Cooke Inc., to fish for red crab. The deal also brought another 1,000 employees into the Cooke team, which now numbers approximately 6,000 worldwide. It is expected that Cooke will benefit from it, in terms of production efficiency and product innovations for markets which are still untapped.
Key Target Audience:-
Fishing Companies
Animal Nutrition Product Manufacturers
Human Nutrition Product Manufacturers
Sea Food Manufacturers and Retailers
Ship Building Companies
Investment Banks
Private Equity Firms and Consultants
End Users of Fishmeal and Fish Oil
Time Period Captured in the Report:-
Historical Period - 2012-2017
Forecast Period – 2018E-2025E (Future Revenue Projections)
Key Topics Covered in the Report:-
Comprehensive Profile of Omega Protein Corporation
Business Model of Omega Protein Corporation
Revenue and Other Financial Metrics of Omega Protein Corporation
Production Volume of Omega Protein Corporation
Revenue and Other Financial Metrics of Omega Protein Corporation Business Segments (Animal Nutrition and Human Nutrition)
Production Volume of Omega Protein Corporation Business Segments (Animal Nutrition and Human Nutrition)
Product Portfolio of Omega Protein Corporation Business Segments (Animal Nutrition and Human Nutrition)
Details on Acquisition and Merger between Cooke and Omega Protein Corporation (Acquirer’s Profile, Deal Overview, Deal Size, Acquisition Fund Sourcing, Deal Rationale, Deal Advisors, Approvals for Merger, Valuation Metrics, Assets Acquired, Close of Transaction etc.)
SWOT Analysis of Omega Protein Corporation
Future Management Guidance/Outlook
For more information on the research report, refer to below link:-
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