Novi, MI – Lineage Logistics Holdings, LLC is acquiring Emergent Cold.
Following closing of the transactions, the combined company will have over 1.7 billion cubic feet of temperature-controlled capacity across 260 facilities in 10 countries, with a global footprint that spans North America, Europe, Asia, Australia and New Zealand.
With the acquisition, Lineage adds a newly constructed distribution centre in the Dallas-Fort Worth market as well as four U.S. port facilities in New Orleans, Houston and Charleston to its network of locations supporting import, export and customs brokerage services for its customers. The transaction also includes the purchase of real estate at select facility sites currently leased by Emergent under long-term lease agreements.
Emergent, which was founded in 2017 by Elliott Management and Neal Rider, brings to Lineage an experienced management team with a proven track record of growth and longstanding relationships with customers in global markets.
“Joining Lineage accelerates our goal of providing the highest quality global cold chain solutions to our customers,” said Neal Rider, Emergent’s founder and CEO.
“Lineage has established itself as a leader in our industry, and expanding its global footprint and port presence with the addition of Emergent will create incredible opportunities for our collective customers.”
In less than two years Emergent acquired seven businesses and launched two greenfield facilities across six countries and four continents.
The transactions position Lineage to take advantage of growing demand for cold storage space in Australia – a sector valued at US$5 billion – and in neighboring New Zealand, Vietnam and Sri Lanka. The sector is rapidly evolving and is an integral part of Asia-Pacific’s domestic and international supply chains for food products including dairy, seafood, raw and cooked meat, poultry, frozen vegetables and other frozen or chilled foods.
The transactions are expected to close in 2020, subject to customary closing conditions and regulatory approvals.