Acquisition is Largest to Date by Bay Grove, the Principal Investment Firm behind Lineage Logistics
San Francisco, CA, July 11, 2012 – Lineage Logistics ("Lineage"), a warehousing and logistics company sponsored by Bay Grove, today announced that it has acquired Castle & Cooke Cold Storage (“CCCS” or the “Company”), a third-party warehousing logistics company headquartered in Colton, CA, from Castle & Cooke Inc. With the acquisition of CCCS, Lineage increases its footprint to 12 million square feet and 240 million cubic feet of capacity, making it the third largest refrigerated warehouse company in North America, based on data from the International Association of Refrigerated Warehouses. Financial terms of the transaction were not disclosed.
“Lineage combines a deep heritage of customer-centric and entrepreneurial values with significant financial resources provided by committed, long-term investors,” said Kevin Marchetti, Managing Director of Bay Grove. “This is a transformative deal that will double Lineage's size, expand its capabilities and strengthen its customer-first culture. The acquisition firmly establishes Lineage as a leading logistics partner for customers nationwide.”
CCCS, previously owned by investor David Murdock and CEO Bill Hendricksen, operates 24 facilities totaling 112 million cubic feet located across California, Illinois, Maryland, Missouri, Georgia and Texas. The Company provides cold and dry storage for a wide range of customers, including food and non-food producers, distributors and retailers.
In addition, CCCS’s asset-light transportation logistics business provides nationwide solutions for product movement. CCCS’s CEO Bill Hendricksen and President Paul Hendricksen will become Lineage’s CEO and COO, respectively. The Hendricksens and David Murdock also will continue as meaningful equity investors in Lineage. “Bill and Paul have been great partners and I am looking forward to watching their continued success with Lineage,” said Murdock.
“The combination of Lineage and CCCS creates a first-class franchise with significant scale, services and expertise to better serve all of our customers from coast to coast,” said Bill Hendricksen. “We are excited to join the Lineage team and to add to Lineage’s strong momentum.”
“CCCS is a highly respected organization with excellent leadership that adds to Lineage’s strong existing foundation,” said Tim Dayton, West Coast President of Lineage. “The addition of CCCS provides an exciting opportunity to continue building our culture and company together,” added Mike McClendon, East Coast President of Lineage.