Reddy Ice to Buy Arctic Glacier, DOJ Requires Certain Divestitures

By Josh Beckerman

Reddy Ice, a portfolio company of SCI Capital Partners LP, agreed to buy Arctic Glacier from Carlyle Group.

The companies announced the deal on the same day that the Justice Department's antitrust division said it required divestitures for the transaction to proceed. The DOJ said the deal is valued at more than $126 million.

Reddy has revenue of about $511 million, while Arctic Glacier's revenue is about $306 million, the DOJ said Friday. Both ice companies filed for bankruptcy and emerged in 2012, and Reddy tried unsuccessfully to buy Arctic Glacier.

SCI is part of Stone Canyon Industries, which bought Reddy in 2019 from Centerbridge Partners. In 2017, Carlyle bought Arctic Glacier from H.I.G. Capital for $723 million, according to S&P Global Ratings.

Reddy expects the combination "will allow us to create increased operational efficiency across a diverse footprint in the U.S., Mexico and now Canada."

Reddy said it will divest four facilities and associated customer contracts in Mukilteo and Lakewood, Wash., Coeur d'Alene, Idaho, and Brawley, Calif., and customer contracts in Oregon and in the New York and Boston metropolitan areas. The DOJ said the originally proposed deal would have led to higher prices. It said the divestitures "preserve competition for packaged ice sold to retail chains, airlines, and airline caterers in these states."

Write to Josh Beckerman at josh.beckerman@wsj.com

(END) Dow Jones Newswires

January 30, 2026 15:14 ET (20:14 GMT)