GFH Partners, a Dubai International Financial Center (DIFC) headquartered investment manager and the global real estate investment arm of GFH Financial Group, has declared that it has successfully finished its co-investment in Cold-Link Logistics, one of the 10 largest privately-held temperature-controlled logistics networks in North America, in consortium with Slate Asset Management, the global investor of essential real estate and infrastructure, and funds under the management of Hamilton Lane, a global investment firm in the main markets of the private investment sector.
A prominent owner-operated cold storage company, Cold-Link Logistics, owns and leases a geographically diversified network of modern, temperature-controlled facilities that are strategically located along food and logistics corridors throughout the US.
The platform includes nine facilities that have a total storage capacity of over 78 million cu ft and offers the full range of freezer, cooler, and ambient storage services, which are supplemented with value-added services such as case picking, blast freezing, labeling, and freight solutions, among others.
A customer base of over 250 in over 10 food categories has allowed Cold-Link to build long-term relations with food producers, distributors, and retailers in the U.S. market.
It is anticipated that the investment will facilitate the next stage of the growth and expansion of the company into other strategic markets. The deal highlights the belief of GFH Partners in cold storage as a high-growth and defensive subsector under its overall logistics investment strategy.
However, the US cold storage sector is still enjoying robust structural tailwinds, such as population growth and greater consumption of fresh and frozen foods, rapid growth in e-grocery and food safety and traceability needs.
These are the elements that are driving up the requirements of well-placed and temperature-controlled logistics assets that have the potential to support the resilient food supply chains across the nation.
Nael Mustafa, Chief Executive Officer of GFH Partners, said, “Cold storage represents one of the most compelling segments within the logistics ecosystem today, driven by essential demand dynamics and the need for modern, scalable infrastructure. We are delighted to partner with Slate, Hamilton Lane, and our co-investors to support Cold-Link’s ambitious growth trajectory and to bring long term value to our institutional partners.”
He reported that a combination of Cold-Link’s current facility portfolio and its customer-centric operating model places the platform in a position to exploit these secular trends and provide robust and long-term performance in market cycles.
