Blackstone recapitalises Mileway for £17.5bn

15 February 2022 10:10 Julia Hatmaker Comments (0)

Mileway is a last-mile logistics company with 25 sites in the North West, including at Wingates Industrial Estate in Bolton, Walker Industrial Estate in Blackburn and Glacier Buildings in Liverpool.

Blackstone, a global investment company, launched Mileway in 2019 to grow its European logistics presence. At the time, Mileway had 1,000 assets. Today, it has more than 1,700 assets and offices across the country, including in Warrington.

Mileway has been active in the North West and North Wales region since it was founded. Recent deals include selling 100,000 sq ft of industrial space in Wales to WUKPG, selling the 258,000 sq ft Plantation Park in Bromborough to Richardson, and leasing 47,000 sq ft of space at Haydock Cross.

The recapitalisation indicates Blackstone will continue to invest in Mileway in the long term.

Billed as one of the largest real estate transactions in Europe, most of the money for the recapitalisation comes from existing investors in Mileway who want to continue their relationship with the company. Current investors now have a chance to retain, increase or sell their shares.

Financial advisors to current shareholders are Jones Lang LaSalle, BofA Securities, Goldman Sachs International, JP Morgan Securities, Morgan Stanley & Co, Eastdil Secured International and Rothschild & Co. Simpson Thatcher & Bartlett is the legal advisor for Blackstone.

“Together with the Mileway management team, we are proud to have built a premier portfolio of European, last-mile logistics properties in the most sought-after locations,” said James Seppala, head of real estate in Europe for Blackstone.

“Logistics is one of our highest conviction themes globally and the sector continues to prove its resiliency and strong growth potential,” he continued.

Emmanuel Van der Stichele, CEO, Mileway, said: “We have worked closely with Blackstone to create a coveted last-mile logistics portfolio that better connects our customers to the businesses and communities they serve. Blackstone’s ongoing support will enable us to continue executing on our shared vision for Mileway, Europe’s premier last-mile logistics company, as we implement our value-enhancing initiatives and development plans in key urban locations across the UK and Europe.”