Indy cold storage company acquired
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A fourth-generation company that operates two large cold-storage facilities in central Indiana is under new ownership.
South Dakota-based Vertical Cold Storage announced Tuesday that it acquired Indianapolis-based MWCold, which was founded in 1951 as Merchandise Warehouse Co. Inc. and operated under that name until rebranding in 2019.
Financial terms of the deal were not disclosed.
MWCold operates a 390,000-square-foot facility at 1414 S. West St. in Indianapolis and a 159,000-square-foot facility at 725 W. Pioneer Trace in Pendleton. The company provides multi-temperature warehousing services for the food, pharmaceutical and manufacturing industries.
Vertical Cold Storage said the proximity of both facilities to major interstates enables two-day-or-less service to more than 75% of the United States and Canada.
“MWCold is a fourth-generation, family-owned business infused with the spirit of entrepreneurship and a value system committed to serving their employees, customers, and community,” Vertical Cold Storage CEO West Hutchison said in written statement. “We are committed to honoring the family legacy and taking MWCold to the next level.”
The acquisition adds to Vertical Cold Storage’s portfolio, which includes warehousing and distribution centers in Chicago, Dallas, Omaha, Charlotte and Miami.
Vertical Cold Storage had about 350 employees prior to the acquisition. A spokesperson for the company declined to say how many workers are employed at MWCold or if any jobs would be negatively affected by the deal.
MWCold had 77 employees in 2016 when it entered into an incentives contract with the Indiana Economic Development Corp. that would provide it with $330,000 in tax credits if it boosted employment to 142 workers by 2019. The contract, which also called for the company to spend more than $13 million to expand its West Street facility, was fulfilled, according to the IEDC.
“Providing a family environment where our employees can find acceptance, opportunity and purpose defines our mission,” MWCold CEO Tim Siddiq said in written remarks. “With Vertical Cold, we have found a team we trust to hand over the company my grandfather founded more than 70 years ago.”
Siddiq will transition to an advisory role with the combined company. He said the deal will allow him to spend more time on mission activities such as supporting Afghan and other refugees transition to the U.S.