Lineage Acquires US Growers Cold Storage PRWs in LA Area
Lineage Logistics has purchased eight public refrigerated warehouses (PRW) from U.S. Growers Cold Storage, a Los Angeles-headquartered company that has been in business since 1950. Financial terms of the deal were not disclosed.
With the acquisition, Lineage, owned by San Francisco, California-based investment firm Bay Grove Capital, has added significant capacity to its expansive temperature-controlled facility network in Southern California of over sites, providing increased storage flexibility and greater access to value-added solutions for its customers.
The eight locations acquired from Growers encompass over 12 million cubic feet of capacity in the Los Angeles area and are accessible to Southern California’s major freeways, rail facilities and ocean container terminals, including the 250,000 square-foot transload facility that Lineage operates in the Port of Long Beach’s overweight corridor.
“While we have existing operations and deep experience in Southern California, this acquisition further represents our commitment to grow with customers and optimize their supply chains in a desirable core market,” said Greg Lehmkuhl, president and ceo of Lineage Logistics. “Our aim has, and always will be, to consistently provide the space and solutions when and where our customers need it.”
“Lineage is a dynamic company with the sophistication and scale to deliver innovative, impactful solutions,” said Angelo Antoci, Growers president and ceo. “We are confident they will continue to provide exceptional service to our customers and great opportunities for our employees.”
“Growers is an outstanding organization with strong relationships in Southern California, and we are thrilled to welcome them to the Lineage family,” said Kevin Marchetti, managing partner of Bay Grove. “Angelo is an industry luminary for whom we have tremendous respect, and we are honored by the outcome of this proprietary acquisition.”
In addition to the acquisition, Lineage will continue Growers’ existing expansion plans to add over 25,000 pallet positions to its capacity over two phases. The initial phase is targeted for completion in May of 2018.
The Growers acquisition and its subsequent growth plans are announced on the heels of Lineage’s acquisition of two cold storage operations from American Cold Storage. Located in Boonville, Indiana, and Louisville, Kentucky, the facilities add over 8 million cubic feet of capacity to Lineage’s facility network and serve as a complement to its nearby warehouses in the Midwest region. American will continue to own its facilities in Humboldt and Jackson, Tennessee independently.
In sum, Lineage adds more than 20 million cubic feet of capacity to its international facility network through these two acquisitions.