Things are moving slowly but surely for the new ownership team of the Kekaha-based shrimp farm Ceatech USA Inc. Sunrise Capital LLC purchased the assets of the bankrupt facility in late June. Ceatech filed for Chapter 11 bankruptcy protection from
Things are moving slowly but surely for the new ownership team of the Kekaha-based shrimp farm Ceatech USA Inc.
Sunrise Capital LLC purchased the assets of the bankrupt facility in late June. Ceatech filed for Chapter 11 bankruptcy protection from creditors March 22.
Kelvin Taketa, chief executive of the Hawaii Community Foundation (HCF) and the principal of Sunrise Capital LLC said he expected the actual sale to close in September.
Taketa said the company is a private venture, and not related to HFC, a statewide, charitable-services organization that manages $265 million in resources.
He said he and the four other principals of Sunrise Capital LLC were in the process of formulating plans for restoring the operation and were committed to making the venture work to create jobs and help diversify Kaua‘i’s economy.
“Our reason for doing this is to design and create an aquaculture industry. It is our expectation this will be a sustainable long-term business,” he said.
Taketa said he could envision raising other types of shrimp and seafood products not just for the local food market but for potential export to Asia as well.
Taketa said the $389,000 purchase price was not that much of a bargain given what Sunrise will have to invest to get the shrimp farm up and running.
“The challenge for us is that it is not like we are taking over an existing business. It’s been shut down for a year. There will have to be a lot of deferred maintenance,” he said.
Ceatech, which once sold white shrimp farmed in brackish waters for consumption, are still operating a hatchery and broodstock for shrimp at the state-owned land in Kekaha.
Taketa said the project had received approval from the state Department of Land and Natural Resources
to assume the leases for the hatchery site and also received a 20-year-lease, as did other members of the Kekaha Agricultural Park.
Taketa said the company had approval from the Agribusiness Development Corporation to expand to 443 acres across from the ponds but could not say at this point how that acreage would be best utilized. He said he and the other principals of Sunrise, which include David Cole, chief executive office (CEO) of Maui Land & Pine; Ron Higgins, the chairman and CEO of Digital Island, and Bill Mills, a real estate developer, and the former CEO of Castle & Cooke, wanted to take a prudent approach in their plans for restoring the operation.
