Lineage Logistics announces CCCS buy.
12 July 2012 - Lineage Logistics Holdings LLC, the US warehouses operator and logistics services provider, announced the acquisition of California-based sector player Castle & Cooke Cold Storage (CCCS) from Castle & Cooke Inc.
Lineage, a portfolio company of San Francisco-based private equity group Bay Grove Capital LLC, offered no information on financial terms. It said, however, that the acquisition was the biggest undertaken so far by Bay Grove Capital and the combination of the two businesses created North Americaa[euro](tm)s third-biggest refrigerated warehousing group.
CCCS operates 24 warehouses in California, Illinois, Maryland, Missouri, Georgia and Texas. It offers cold and dry storage to a variety of customers, among them food and non-food companies, distributors and retailers. CCCS also runs an asset-light transportation logistics operation, which delivers product movement solutions on a national scale.
The former owners of the target company, Castle & Cooke chairman and CEO David H. Murdock and CCCS' chief executive William Hendricksen, will retain a meaningful stake in the business. William Hendricksen will assume the role of Lineage chief executive, while former CCCS president Paul Hendricksen will take on the job of Lineage chief operating officer.
Commenting on the deal, Bill Hendricksen said that it created a top-rate business with the necessary scale and expertise to provide customers nationwide with better services, building on the momentum Lineage had created so far.
Bay Grove managing director Kevin Marchetti described the acquisition as transformative, noting that it would double the size of Lineagea[euro](tm)s operations, enhance its capabilities and place it firmly at the vanguard of logistics services providers in the country.Country: USASector: Road Transport/Freight TransportTarget: Castle & Cooke Cold StorageBuyer: Bay Grove Capital LLC, Lineage Logistics Holdings LLCVendor: David H. Murdock, William HendricksenType: Corporate acquisition, LBOStatus: Closed