South Africa: FMO signs investment in AIIM-backed cold chain logistics company

Dutch development finance institution FMO has signed a ZAR 277 million (about $15 million) equity participation in Commercial Cold Holdings (CCH), a newly established South-African food cold storage platform active within the temperature-controlled logistics market.

CCH currently has about 150,000 pallets in capacity across nine facilities covering all South African hubs, making it one of the largest players in the region. It provides an affordable and integrated offering across warehousing, picking and transportation which enhances value across the agribusiness value-chain in the country.

Last year, African Infrastructure Investment Managers (AIIM) and its investment partners – Bauta Logistics and Mokobela Shakati (Pty) Ltd Consortium – announced the establishment of a cold chain platform CCH, with the initial acquisition of CCS Logistics from Oceana Group. CCS has been operational for over 50 years and is an established leader in South Africa’s temperature-controlled logistics market.

PwC acted as financial advisor to AIIM on its acquisition of CCS Logistics from Oceana Group.

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