Aberdeen’s Reftrade UK and Environstore snapped up in multi-million pound deal

Offshore shipping containers firm Cargostore Worldwide has acquired a duo of  Aberdeen businesses in a multi-million pound deal.

Reftrade UK and Environstore will be 100% owned by Cargostore following the deal, although it said there was “no change planned to the existing management and operational teams”.

Greg Spence, the main shareholder and managing director of the two Westhill firms, alongside fellow director Martin Baxter, “will be supported by the Cargostore management team to take the businesses to the next level”.

The combined firm will have over 20 employees servicing five continents.

The deal marks London-headquartered Cargostore’s first acquisition in its 30-year history. Investor Connection Capital backed a management buyout and took a majority stake in the firm for £24 million in 2020 alongside existing investor Agathos Management.

Spence, son of one of Aberdeen’s best known hoteliers, Stewart Spence, was also until recently a director of the celebrated Marcliffe Hotel until it was sold to Aberdeen’s Balmoral Group last year. His father died age 77 in January.

He said: “The acquisition comes at a time of significant growth for all three companies and is the natural next step to collectively enhance our position as a global leader in the safe and timely delivery of the latest industry accredited refrigerated containers and temperature controlled units.

“There are many synergies between the companies; our people-first approach to service ensures our customers and talent are prioritised, and we are proud to offer the best equipment fitted with state-of-the-art features, which exceed the highest health and safety standards in the UK and Europe. This commitment to quality and service is what Reftrade UK and Environstore has become known for, and we will continue this through Cargostore.”

Cargostore said Reftrade’s specialist offshore refrigerated containers and Environstore’s mudskips for drilling and decommissioning projects would expand its inventory and geography, adding Aberdeen’s “global epicentre for offshore logistics” to the UK-firm’s domestic operations in North East of England and East Anglia.

Cargostore CEO Andrew Harts said: “Over the past five years Cargostore has organically grown from strength-to-strength by developing an exceptional reputation, which is testament to our knowledgeable, attentive and friendly team supporting clients with the deployment of high-quality, safe and innovative containers across the world.

“The transition to renewable offshore energy sources, decarbonisation and decommissioning has been a core part of Cargostore’s growth story alongside supporting the global demand for clean gas and oil. This is an exciting moment as we fast-track our global growth through key strategic partnerships, new products, new geographies and for the first time, acquisitions. In other words, we’re just getting started.”

The firm will target demand across offshore wind, decommissioning, clean energy and pharmaceuticals.

Both Cargostore in England and Reftrade in Scotland played vital roles in deploying cold storage units during the UK’s COVID-19 testing and vaccination roll-outs. Cargostore continues to support international emergency response efforts, an area that will benefit further from the integration of Reftrade’s technical expertise and expertise in remote and hazardous environments.

Connection Capital managing partner Bernard Dale said: “We supported the management team at Cargostore in a management buyout in 2020. The company has grown exceptionally well since our investment and we are delighted to see the acquisition of Reftrade and Environstore enhancing its product and service offering to its global customer base.”