NOVI, MICH. — Lineage Inc. announced the acquisition of four existing cold storage warehouses and other related assets from Tyson Foods Inc. for $247 million. Following the transaction, Lineage will onboard over 1,000 Tyson Foods employees.

The warehouses — located in Pottsville, Pa., Olathe, Kan., Rochelle, Ill., and Tolleson, Ariz. — total approximately 49 million cubic feet with 160,000 pallet positions.

The transaction, which is subject to customary closing conditions, is expected to close in the second quarter of 2025.

At or before closing the acquisition agreement, Lineage will enter into an additional, multi-year agreement to design, build and operate two next-generation, fully automated cold storage warehouses in major US distribution markets. Tyson Foods will be an anchor customer at these sites.

Under the agreement, Tyson will begin storing products at Lineage’s newly developed cold storage warehouse in Hazelton, Pa., which utilizes LinOS, Lineage’s proprietary warehouse execution technology.

Over $740 million will be invested in developing the two new warehouses, adding more than 80 million cubic feet and nearly 260,000 pallet positions to Lineage’s network.

Lineage explained that over time, as the newly constructed warehouses begin operations, the acquired facilities will transition to public warehouses as part of Lineage’s global footprint. The company plans to deploy $1 billion of capital over the coming years on the acquisitions and the new greenfield developments.

“This transaction is the result of a long-standing relationship rooted in shared values,” said Greg Lehmkuhl, president and chief executive officer of Lineage. “We’re proud to partner with our valued customer on these landmark agreements, leveraging our global footprint, data-driven approach, LinOS and automation technology. This is just another example of the unique value we can add to our customers.”