The market for cold store logistics in Europe has consolidated in recent years. Earlier this year, on the back of some inquiries, the owners of Agri-Norcold decided to explore the possibilities for a sale to one of the leading pan-European operators.
After a thorough process, Danish Crown and TA-Logistics have sold Agri-Norcold’s entire operations to rapidly growing Constellation Cold Logistics, which, with this acquisition, will have operations in eight Western European countries.
- It has been important for us to find a buyer who will develop Agri-Norcold, as the company is set to remain a central partner for Danish Crown in the future. Conversely, it is not a natural part of our core business to co-own a company in the cold store logistics sector, so as part of our ongoing strategic work to focus Danish Crown's business, we have chosen to sell our stake in Agri-Norcold, says Jais Valeur, Group CEO of Danish Crown.
Danish Crown has been a co-owner of Agri-Norcold in various ways since 1978. In 2012, TA-Logistics bought 57 percent of the company when the two former co-owners wanted to sell their shares.
- Over the years we have run and developed Agri-Norcold together with a desire for mutual value creation between management and the two owners. We have succeeded in this through a trusting daily collaboration and, not least, a fantastic and dedicated effort from both management and employees in all parts of Agri-Norcold, and I have no doubt that Agri-Norcold will continue to be a fantastic supplier to Danish Crown in the future, says Jais Valeur.
- It is positive for Danish Crown's cooperative members that we are taking another step towards focusing the company on our core business with this transaction. It is part of the strategic work that we, as the board and management, are currently engaged in, which is about sharpening Danish Crown's business going forward. In the upcoming months this work will continue in various ways, says Danish Crown's Chairman Asger Krogsgaard.
Agri-Norcold is headquartered in Aalborg and operates 10 frozen goods terminals in Denmark, all located close to the main traffic arteries. They have a combined capacity of app. 900,000 cubic meters of cold storage and 266,000 pallet spaces. Agri-Norcold also has its own packing facility, and the company’s largest cold storage in Vejen is also the largest in Northern Europe.
- At Agri-Norcold, we have been very satisfied with the commitment that our two owners have shown us for more than a decade. It has been a privilege for us to have the backing from two such strong companies in a very competitive market. At the same time, we understand that cold store logistics isn’t a core business for Danish Crown and that a new strategic direction means a farewell for them as owner. We very much look forward to a continued close cooperation with Danish Crown as one of our largest customers, says Agri-Norcold CEO Jan B. Nielsen.
Constellation’s purchase of Agri-Norcold is expected to be completed by the end of September 2024, and it has been agreed that the purchase price will not be disclosed.