Americold Realty Trust, Inc. and EQT formed a new joint venture with EQT's Active Core Infrastructure fund focused on the ownership, operation, and potential development of high-quality cold storage warehouse facilities in North America.
“This joint venture is an important strategic step for Americold, significantly strengthening our balance sheet, while aligning us with a strong partner in EQT who recognizes the intrinsic value of our mission-critical assets and the inherent growth opportunities in our business,” says Rob Chambers, CEO of Americold. “We believe this transaction reflects an attractive valuation for our assets, while positioning Americold to unlock additional value in the future as we look to grow this platform. This transaction is part of our multi-pronged strategy to drive disciplined long-term growth and superior returns for shareholders.”
"We are excited to partner with Americold to invest in a high-quality portfolio of truly mission-critical assets," says Alex Greenbaum, partner and head of EQT Active Core Infrastructure. "We believe this platform is anchored by best-in-class cold storage assets serving blue chip customers and is well positioned for long-term growth. This investment aligns closely with our strategy of investing in core infrastructure assets with durable, predictable characteristics and clear opportunities for growth. We look forward to further developing, enhancing, and scaling the platform over time."
"Americold is a leading global cold storage operator, with a high-quality platform, deep customer relationships, and a strong track record of operational excellence," says Benjamin Bygott-Webb, partner at EQT. "This partnership reflects EQT's conviction in cold chain infrastructure as an essential, resilient sector with strong long-term fundamentals. Together, we are well-positioned to build on a strong foundation, pursuing disciplined growth and development opportunities while continuing to serve customers across critical points in the supply chain."
Key takeaways:
· Under the terms of the agreement, Americold will contribute 12 cold storage facilities to the joint venture with an aggregate value in excess of $1.3 billion at inception. The facilities are located across the United States and comprise a total of approximately 124 million cubic feet of temperature-controlled capacity, with over 400,000 combined pallet positions.
· On a standalone basis, this joint venture is expected to be among the largest operators of cold storage facilities in North America.
· As part of the agreement, Americold will provide the joint venture with development support, leveraging its longstanding customer relationships and industry expertise to identify opportunities to develop strategically located assets that support key nodes in the cold chain.
