AC Logistics Holdings Corp., the logistics arm of Ayala Corp., has signed an agreement to acquire around 84 percent in Glacier Megafridge, Inc. (GMI), a leading player in the Philippine cold storage industry.
The deal remains subject to closing conditions and regulatory approval, Ayala said on Monday.
“The transaction is consistent with AC Logistics’ strategy to expand its cold chain business, one of its key growth pillars, and to leverage the capabilities of an established cold storage player,” Ayala said.
It added that the deal built on an existing partnership between AC Logistics and GMI through GMAC Logitech Refrigeration Corp., a joint venture that operates a cold storage facility in Cagayan de Oro and is currently expanding another facility in Davao.
“This agreement is a deliberate step in our transformation journey,” said Erry Hardianto, president and CEO of AC Logistics.
“GMI will complement and integrate into AC Logistics’ network of nodes, expanding our coverage to better serve our customers and strengthening our ability to deliver comprehensive logistics solutions to critical sectors. It’s about keeping our customers in mind and continually evolving to serve them better,” Hardianto added.
Once finalized, the agreement is expected to provide a strong platform for AC Logistics to develop integrated cold chain services to help address the significant supply-demand gap in the sector.
This will allow it to contribute to efforts to reduce the spoilage rates of agricultural products in the Philippines, currently estimated to be in the range of 40 to 50 percent.
GMI is a major provider of integrated cold storage services in the Philippines. Established in 2005, GMI was said to have combined advanced Japanese refrigeration technology with Filipino expertise to ensure efficient and reliable storage and distribution of perishable goods nationwide.
It operates 12 cold storage facilities across the country with a total estimated capacity of 75,000 pallet positions.
“Partnering with AC Logistics opens new opportunities in GMI’s 20-year journey to scale and innovate,” GMI CEO Archie Yan said.
“Together, we can address the growing demand for reliable cold chain solutions and help reduce inefficiencies in the supply chain. This collaboration positions us to serve customers better and contribute to the country’s food security and economic growth,” he added.
Ayala Corp. shares on Monday dropped P14.50, or 2.76 percent, to close at P510.50 apiece.
