Lineage Logistics acquires Emergent Cold to strengthen market presence
The acquisition would strengthen Lineage’ strategic presence across Asia-Pacific. It will also add 46 facilities in Australia, United States, Sri Lanka, Vietnam and New Zealand. Lineage Logistics Holdings LLC, one of the leading provider of temperature-controlled logistics solutions, has reportedly signed a definitive agreement to acquire Texas-based cold chain company Emergent Cold LLC. As per reports, the deal would strengthen Linage’s port presence in the U.S. and would signal its entry into New Zealand, Sri Lankan and Australian temperature-controlled logistics market. It would also help build on the company’s existing footprint in Asia-Pacific region. The terms and conditions of the deal are yet to be disclosed by the companies. However, it is reported that Lineage has bought Emergent for more than USD 900 million. The deal is expected to close in 2020 and is subject to regulatory approvals and customary conditions. Sources cite that Lineage Logistics, following this acquisition, will add 46 new facilities in New Zealand, Vietnam, Sri Lanka and the United States. The company claims that it has over 1.7 billion cubic feet of storage space at 260 facilities across 10 countries. According to Greg Lehmkuhl, President & Chief Executive Officer, Lineage, manufacturers, food producers and retailers are exploring food chain partners that can deliver end-to-end and dynamic temperature-controlled logistics solutions globally. By acquiring Emergent, their company will not only strengthen its global footprint but also deepen its commitment to international trade and port strategy, claims Lehmkuhl. Moreover, it could better help consumers respond to changing market dynamics like tariff impacts, network optimization, customer preference and much more, along with unlocking new opportunities in the market. Meanwhile, Neal Rider, Founder & CEO, Emergent, said that joining forces with Lineage would accelerate their goal of offering the top most quality of global cold chain solutions to customers. Source Credit - https://www.freightwaves.com/news/lineage-logistics-to-acquire-emergent-cold