In two years, approximately US$1.2 billion has been raised, the largest investment announced in the region by a company in the sector
The leading provider of refrigerated food storage and transportation solutions in Latin America has just raised US$ 500 million to boost its expansion and consolidation plan in the region. Emergent Cold LatAm has raised twice the capital initially planned for this third round of investment, which was recommended by J.P. Morgan.
This amount complements the US$ 450 million injected in 2021, and the US$ 250 million in 2022, for a total of at least US$ 1.2 billion earmarked for the modernization of the Latin American cold chain. Over the last few years, this the region’s largest investment announced by a company in the sector.
According to Neal Rider, CEO of Emergent Cold LatAm, part of the funds have been invested in the acquisition and construction of new warehouses. As a complement to the strategy of growing operations, the company is also investing in technologies capable of contributing to productivity gains, reducing operating costs and improving margins.
“We continue to look closely at acquisition or expansion opportunities in Latin America, but we are putting the same energy and resources into integrating and transforming our operations, guaranteeing better results and increasing the added value delivered to our customers,” he said.
In total, over 70 warehouses are in operation in
11 Latin American countries, and investments were made in three new buildings
in Chile, Mexico and Peru, as well as the expansion of six other warehouses in
Brazil, Chile, Mexico, Panama and Uruguay. After the works are completed,
approximately 170,000 new pallet positions will be added to Emergent Cold
LatAm’s capacity. Since August 2021, 18 acquisitions and 2 constructions have
been completed.
