US-headquartered cold chain services provider Lineage Logistics secured $1.9bn in equity funding yesterday from investors including real estate developer Oxford Properties and investment bank Morgan Stanley’s MS Tactical Value and Conversant Capital vehicle.
Real estate investment firms CenterSquare Investment Management, BentallGreenOak and Cohen & Steers, hedge fund manager D1 Capital Partners and pension fund manager OP Trust also participated in the round.
Founded in 2008, Lineage provides chilled transportation for food in addition to temperature-controlled storage through a network of 340 warehouses across five continents, utilising technology to make its activities more efficient.
The funding was raised alongside a $2.8bn revolving credit facility and term loan, and the capital will support the construction of new facilities along with the expansion of the company’s existing warehouses.
John Carrafiell, co-founder and senior managing partner of BentallGreenOak, is joining Lineage’s board of directors in conjunction with the round.
Carrafiell said: “In recognising Lineage’s exciting and industry-leading runway for innovation as well as its tremendous pipeline of growth opportunities, BentallGreenOak is thrilled with the most recent raise to become one of the company’s largest investors.
“Serving as an observer on Lineage’s board for the past six months, I saw first-hand the company’s extraordinary ability to continue to grow – both organically and through acquisitions – without missing a beat – despite the ongoing pandemic.”
Lineage raised $700m from D1 Capital Partners, funds managed by private equity firm Stonepeak Partners and undisclosed existing investors in 2018.
Oxford Properties, BentallGreenOak, D1 Capital Partners, Cohen & Steers, OPTrust, CenterSquare Investment Management and funds managed by MS Tactical Value subsequently provided $1.6bn in equity financing for the company in September 2020.
