Cold-storage REIT Lineage plumbs new depths after report of job cuts

Lineage

15/01/2025 18:14

** Shares of Lineage  LINE.O  sink to new lows on Weds after
report cold-storage operator reducing headcount just six months
after its blockbuster IPO
    ** LINE falls as much as 3.8% to $53.32 on the session, so
far. Stock now off ~41% from intra-day peak of $89.85 hit on Jul
31
  
    ** Novi, Michigan-based real estate investment trust is
cutting staff, Wall Street Journal  late Tues, citing a co
statement
  
    ** Number of jobs or types of roles affected by the layoffs
not disclosed, according to the report
  
    ** Private equity-backed firm  on Jul 25 after
~56.9-mln-share IPO priced at $78, for the biggest U.S. listing
of 2024
  
    ** Co ultimately 
    raised ~$5.1 bln of gross proceeds after the underwriters 
the full over-allotment option
  
    ** For Q3 last year, co  rev of $1.3 bln, up 0.5% y/y, and
much wider net loss of $543 mln compared loss of $50 mln in
yr-ago period
  
    ** Shares of rival Americold Realty  COLD.N  down 2.7% on
Weds. Its stock has shed ~30% over the past six months
    ** Meanwhile, Wall Steet's major indexes rallying on Weds
after data soothes inflation jitters and big U.S. banks report
strong earnings  .N 
** The S&P 500 real estate sector  .SPLRCR , viewed as
bond-proxy, up 0.6% after rising more than >2% earlier on Weds
as yields slump

(Lance Tupper is a Reuters market analyst. The views expressed
are his own)
((lance.tupper@tr.com 1-646-279-6380))