Mon, 16 Jan 2023 | BUSINESS SALE
Food temperature-controlled storage and logistics firm Associated Cold Stores & Transport (ACS&T) has been acquired by HSH Cold Stores from agriculture group Camellia Plc in a £16.5 million deal. The deal represents a 27.5x multiple of ACS&T’s £0.6 million pre-tax profits for the six months to June 30 2022, during which time it generated revenues of £13 million.
The deal, initially announced in December, expands HSH’s strategic presence, adding ACS&T’s Grimsby, Tewkesbury and Wolverhampton facilities and increasing its storage capacity to approximately 140,000 pallet positions. The acquisition brings the total fleet of the merged businesses to 75 large goods vehicles (LGV) lorries.
The completion of the deal comes at a time of accelerating M&A activity in the logistics sector. Despite mounting headwinds and falling confidence, a survey last year by BDO and Barclays found that 45 per cent of logistics firm owners polled were targeting acquisitions over the coming year, seeking increased scale, expanded service offerings, higher margins and greater tech uptake.
HSH’s acquisition of ACS&T reflects several of these trends, giving the acquirer (which is part of the European Constellation Cold Logistics group) a greater strategic presence and increasing the scale of its storage and fleet.
Commenting on the deal, HSH Managing Director Anthony Howard said: “We are enormously proud and excited to welcome ACS&T to the HSH family, the acquisition provides a unique opportunity for HSH to expand its storage and distribution services for our new and existing customers.”
“Having co-founded HSH nearly 20 years ago, I am extremely proud to see how our company has grown over the years and would like to extend my gratitude to our team on reaching this milestone. I look forward to collaborating with the team at ACS&T to accelerate our growth and develop new high quality cold chain solutions.”
Read about the factors driving M&A activity in the UK logistics sector.
Find businesses for sale here.
If you are looking for an exit, we can help!.
Operating from Yorkshire, this esteemed company serves clients across the UK and around the globe. With a client base encompassing doctors, beauty therapists, training academies, aesthetics clinics, pharmacies, and other wholesalers, it consistently...
LEASEHOLD
Stocks and sells a variety of wholesale hair and beauty trade supplies and products, many of which are not available in regular high street shops. Operating nationally, the company provides its services to 350 active clients, and benefits from high r...
LEASEHOLD
A rare opportunity to purchase the lease of one of the UK's major wholesale distribution centres. Established over 40 years and trading since the 1980s under the same executive management, the vendors own the freehold and are now offering a new lease...
LEASEHOLD
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.