Ocean 14 Capital partners with Aker BioMarine ASA and invests in AION

· Every year 353 million metric tonnes of plastic waste are produced worldwide, but only 9% of this is successfully recycled[1]

· AION was established in December 2020 to handle Aker BioMarine’s plastic waste challenge, evolving into an independent business providing scalable circular solutions for customer across markets and industries

Dive Deeper

15 June 2022, London. Ocean 14 Capital Fund, a private equity impact investment fund focused on the United Nations’ Sustainable Development Goal 14 (SDG 14): Life Below Water, has entered into an investment agreement with AION. Under the agreement, Ocean 14 Capital Fund and Aker BioMarine will jointly provide financing through a NOK 40 million convertible loan facility, equally distributed between the two parties.

The Ocean 14 Capital Fund will take operational control and have both a majority of the voting rights and board representatives in the company towards the next financing phase. The financing will be used for growth and working capital in the initial phase for AION.

The Ocean 14 Capital Fund’s investment will contribute to the solution of the escalating global plastic waste problem. “The Ocean 14 Capital Fund will contribute to scale commercial solutions to mitigate the plastic pollution problem. We have identified AION as a company to take a leading role within industrial plastic circularity, offering impactful solutions with digital traceability to large brand customers. The passionate and knowledgeable team has impressed us with their drive, and we look forward to contributing when AION will enter the next phase for future growth,” says Chris Gorell Barnes, Co-Founder and Partner of the Fund’s Investment Adviser, Ocean 14 Capital Ltd.

“With [Ocean 14 Capital Fund’s] innovation focus on sustainable ocean solutions, we bring onboard the right competence and drive to take AION to a new league. I am confident that AION will benefit from the experience, network and industry insights that Ocean 14 Capital Ltd brings to the company. They have a highly skilled and reputable team and form an ideal partner for AION,” says Matts Johansen, chief executive officer, Aker BioMarine.

“There is a need to move to more sustainable consumption and businesses play a crucial role in the transition to a circular economy. Our mission at AION is scaling circular plastics with a digital platform tracing materials and products in industry. We are excited to partner with Ocean 14 and receive the Fund’s coming contributions to our continued journey,” says Runa Haug Khoury, chief executive officer, AION.

The transaction

· Aker BioMarine and Ocean 14 Capital Fund jointly commit NOK 40 million in an unsecured convertible loan facility to finance the company’s working capital and growth on a pre-money valuation of EUR 9.5 million.

· Ocean 14 Capital Limited shall devote time and resources to AION and its developments and operations to continue its growth trajectory and position the company for securing future financing.

· Conversion shall take place upon a subsequent capital raise from external investors. After conversion, Aker BioMarine is expected to own around 85% of the shares in AION.

· As a result of the transaction, Aker BioMarine will book a gain of around USD 6 million as other operating income in second quarter 2022[2]. The gain will be included in operating profit, but excluded from adjusted EBITDA for the period. The investment in AION of around USD 10 million will be treated as shares in associated companies.

· AION will be deconsolidated from the group consolidated financial statements of Aker BioMarine from the second quarter 2022.

About Aker BioMarine ASA

Aker BioMarine ASA is a leading biotech innovator and Antarctic krill-harvesting company developing krill-derived products for consumer health and wellness as well as animal nutrition. The company has a strong position in its industry and is the world’s leading supplier of krill, the natural, powerful and health promoting source of nutrients from the pristine waters of Antarctica. The company’s focus on sustainability inspired the launch of AION that assists companies to recycle and reuse waste. Aker BioMarine is listed on Oslo Stock Exchange.

www.akerbiomarine.com

About AION AS

AION AS aims to become a leading circularity player within robust plastic fractions with a scalable and technology-agnostic business model, Circularity as a Service (CaaS). The company provides flexible and traceable end-to-end services in the field of circularity on plastics with a documented sustainability effect for its customers. AION works with a network of suppliers in the physical value chain, selecting the partners that are best suited to the specific loop. It has several customers across various geographical markets and industries, and the company’s longer-term growth ambition is to reach above NOK 500 million in revenue by entailing circular product offering and services through the tech platform AION Loop.

www.aion.eco

[1] www.oecd.org/environment/plastic-pollution-is-growing-relentlessly-as-waste-management-and-recycling-fall-short.htm [2] https://newsweb.oslobors.no/message/564848

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“This investment will enable Ocean 14 Capital to deliver the innovation needed to meet our climate and sustainability goals. The sustainable blue economy is now a key focus for us and this is a rallying cry for start-up and scale-up marine innovators globally to come forward and help avert the crisis in our oceans and return them to a healthy thriving state.”

Jean Castellini Minister of Finance and Economy of Monaco

“There has never been a more important time to invest in the oceans as a critical way to protect our planet and combat climate change. I am excited to back Ocean 14 Capital and their vision to make a significant positive impact in the blue economy.”

Niklas Zennström

“Builders Vision Fund is excited to be part of Ocean Capital Fund I’s first close. Builders is committed to developing the ecosystem of businesses focused on ocean health and sustainability. We believe the team at Ocean14 Capital have the drive and commitment to lead this impact-focused growth fund for oceans to meaningful market investments that can improve the health of our oceans.”

Peter Bryant Senior Program Officer, Builders Initiative

“Impact investments are an important part of Chr. Augustinus Fabrikker’s investment strategy and with the investment in Ocean 14 Capital Fund I we will total ten impact investments. Our interest in Ocean 14 Capital stems from the importance we see in ensuring sustainable business practices in the ocean to foster future prosperity for this vital part of our ecosystem alongside the unique capabilities we have identified within the team. For this reason, we are delighted to become a cornerstone investor in this exciting venture.”

Claus Gregersen Chief Executive Officer, Chr. Augustinus Fabrikker

“In line with SDG14, our key objective through the Flourishing Ocean’s initiative is to return our ocean to a healthy thriving state. To facilitate this, we are committed to ending overfishing; ending the dumping of plastic, heat and CO2 in our ocean; supporting the sustainable use of ocean resources; conserving key habitats; and facilitating world class research. This is why we are supporting a new venture where the Ocean 14 Capital Fund will invest in projects aligned to our objectives.”

Dr. Tony Worby Chief Executive Officer, Minderoo Foundation’s Flourishing Ocean