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Lineage Logistics Holdings has signed definitive agreements to acquire Dallas-based Emergent Cold. This acquisition is intended to strengthen the Novi-based company’s leading port presence in the United States and signifies its entry into the Australian, New Zealand and Sri Lankan temperature-controlled logistics markets, building on Lineage’s existing presence in the Asia-Pacific region.

While financial terms of the transactions were not disclosed, The Wall Street Journal cited a source that valued the deal at more than $900 million.

“Food producers, manufacturers and retailers are looking for cold chain partners who can offer a dynamic and truly end-to-end temperature-controlled logistics solution, and one that can reach every corner of the world,” Lineage Logistics President and CEO Greg Lehmkuhl said in a statement. “Welcoming Emergent to the Lineage family not only adds significant capacity to our international footprint, but also deepens our commitment to our port strategy and international trade. We are better able to help customers respond to constantly shifting market dynamics, such as global network optimization, tariff impacts, consumer preference shifts, and much more, while at the same time unlocking new potential market opportunities to sell their goods.”

Following closing of the transactions, the combined company will feature over 1.7 billion cubic feet of temperature-controlled capacity across 260 facilities in 10 countries, with a global footprint that spans North America, Europe, Asia Australia and New Zealand. With the acquisition, Lineage adds a newly constructed distribution center in the Dallas-Fort Worth market as well as four U.S. port facilities in New Orleans, Houston and Charleston to its expansive network of locations supporting import, export and customs brokerage services for its customers. The transaction also includes the purchase of real estate at select facility sites currently leased by Emergent under long-term lease agreements.

Since its founding in 2008, Lineage has expanded rapidly by acquiring best-in-class cold storage companies, deploying capital into new projects and growing the business organically.

Latham & Watkins LLP served as legal adviser to Bay Grove and Lineage in this transaction. Debevoise & Plimpton LLP served as legal adviser to Emergent.

The transactions are expected to close in 2020, subject to customary closing conditions and regulatory approvals.