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UPS Bolsters Healthcare Logistics Capabilities with Cold-Chain Acquisitions

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UPS has announced its agreement to acquire Frigo-Trans and BPL, leading healthcare logistics providers in Germany, to enhance its end-to-end temperature-controlled logistics capabilities across Europe. This acquisition aligns with UPS's strategy to become the top complex healthcare logistics provider globally, addressing the increasing demand for integrated cold and frozen supply chains in the pharmaceutical industry.

Frigo-Trans offers a comprehensive network including temperature-controlled warehousing covering six zones from cryopreservation (-196°C) to ambient (+15° to +25°C), a Pan-European cold chain transportation solution, and time-critical freight forwarding capabilities. The transaction is expected to close in Q1 2025, subject to regulatory approvals. Financial terms were not disclosed.

UPS ha annunciato di aver raggiunto un accordo per acquisire Frigo-Trans e BPL, leader nella logistica sanitaria in Germania, per migliorare le proprie capacità logistiche a temperatura controllata end-to-end in tutta Europa. Questa acquisizione si allinea con la strategia di UPS di diventare il principale fornitore di logistica sanitaria complessa a livello globale, affrontando la crescente domanda di catene di approvvigionamento integrate per il freddo e il congelato nell'industria farmaceutica.

Frigo-Trans offre una rete completa che comprende magazzini a temperatura controllata che coprono sei zone, dalla crioconservazione (-196°C) all'ambiente (+15° a +25°C), una soluzione di trasporto a catena del freddo pan-europea e capacità di spedizione urgenti. Si prevede che la transazione si concluda nel Q1 2025, soggetta ad approvazioni normative. I termini finanziari non sono stati divulgati.

UPS ha anunciado su acuerdo para adquirir Frigo-Trans y BPL, proveedores líderes en logística de atención médica en Alemania, para mejorar sus capacidades logísticas de temperatura controlada de extremo a extremo en Europa. Esta adquisición se alinea con la estrategia de UPS de convertirse en el principal proveedor de logística sanitaria compleja a nivel mundial, atendiendo la creciente demanda de cadenas de suministro integradas de frío y congelado en la industria farmacéutica.

Frigo-Trans ofrece una red integral que incluye almacenamiento controlado por temperatura cubriendo seis zonas desde criopreservación (-196°C) hasta ambiente (+15° a +25°C), una solución de transporte de cadena de frío paneuropea y capacidades de transporte urgente. Se espera que la transacción se cierre en Q1 2025, sujeta a aprobaciones regulatorias. No se han revelado los términos financieros.

UPS는 Frigo-Trans와 BPL을 인수하기로 합의했다고 발표했습니다. 이는 독일의 선도적인 헬스케어 물류 공급업체로, 유럽 전역의 온도 제어 물류 능력을 강화하기 위한 것입니다. 이 인수는 UPS가 글로벌 복잡한 헬스케어 물류 공급업체로 자리 잡기 위한 전략과 일치하며, 제약 산업에서 냉동 및 동결 공급망의 통합 수요 증가에 대응하고 있습니다.

Frigo-Trans는 온도 제어 창고를 포함한 포괄적인 네트워크를 제공하며, 이는 극저온 (-196°C)에서 상온 (+15°에서 +25°C)까지 여섯 개 구역을 커버합니다. 또한 범유럽 냉장 체인 운송 솔루션과 긴급 화물 운송 능력을 갖추고 있습니다. 이 거래는 2025년 1분기에 종료될 것으로 예상되며, 규제 승인에 따라 달라질 수 있습니다. 재무 조건은 공개되지 않았습니다.

UPS a annoncé son accord pour acquérir Frigo-Trans et BPL, des leaders de la logistique sanitaire en Allemagne, afin d'améliorer ses capabilités logistiques de bout en bout à température contrôlée à travers l'Europe. Cette acquisition s'inscrit dans la stratégie d'UPS de devenir le principal fournisseur de logistique sanitaire complexe au niveau mondial, répondant à la demande croissante de chaînes d'approvisionnement intégrées pour le froid et le congelé dans l'industrie pharmaceutique.

Frigo-Trans propose un réseau complet incluant des entrepôts à température contrôlée couvrant six zones, de la cryoconservation (-196°C) à la température ambiante (+15° à +25°C), une solution de transport en chaîne du froid paneuropéenne, et des capacités de transport critique en temps. La transaction devrait se conclure au Q1 2025, sous réserve des approbations réglementaires. Les conditions financières n'ont pas été divulguées.

UPS hat bekannt gegeben, dass es eine Vereinbarung zur Übernahme von Frigo-Trans und BPL getroffen hat, führenden Anbietern von Gesundheitslogistik in Deutschland, um ihre temperaturempfindlichen Logistikfähigkeiten entlang der gesamten Wertschöpfungskette in Europa zu verbessern. Diese Übernahme entspricht der Strategie von UPS, der führende Anbieter von komplexen Gesundheitslogistik weltweit zu werden, um der steigenden Nachfrage nach integrierten Kühl- und Tiefkühllieferketten in der pharmazeutischen Industrie gerecht zu werden.

Frigo-Trans bietet ein umfassendes Netzwerk, das temperaturkontrollierte Lagerräume umfasst, die sechs Zonen von Kryokonservierung (-196°C) bis Umgebungstemperatur (+15° bis +25°C) abdecken, eine paneuropäische Kühlkette Transportlösung und zeitkritische Frachtweiterleitungskapazitäten. Es wird erwartet, dass die Transaktion im Q1 2025 abgeschlossen sein wird, vorbehaltlich der Genehmigungen durch die Aufsichtsbehörden. Die finanziellen Einzelheiten wurden nicht bekannt gegeben.

Positive
  • Acquisition enhances UPS's end-to-end temperature-controlled logistics capabilities in Europe
  • Strengthens UPS's position in the complex healthcare logistics market
  • Expands service offering with Frigo-Trans' comprehensive temperature-controlled warehousing and transportation solutions
  • Addresses growing demand in pharmaceutical industry for integrated cold and frozen supply chains
Negative
  • None.

Insights

UPS's acquisition of Frigo-Trans marks a strategic move to strengthen its position in the lucrative healthcare logistics market. This deal is likely to boost UPS's revenue in the high-margin healthcare sector, particularly in Europe. The acquisition aligns with the growing demand for temperature-controlled supply chains, driven by advancements in the pharmaceutical industry. While the financial terms aren't disclosed, the potential for increased market share and enhanced service offerings could positively impact UPS's long-term growth prospects. Investors should monitor how this acquisition affects UPS's operational costs and profit margins in the coming quarters, as integrating new specialized services can initially pressure profitability before yielding returns.

The acquisition of Frigo-Trans significantly enhances UPS's capabilities in the complex healthcare logistics sector. The addition of Frigo-Trans' six temperature zones from cryopreservation (-196°C) to ambient (+15° to +25°C) is a game-changer, allowing UPS to handle a wider range of pharmaceutical products with varying temperature requirements. This comprehensive solution addresses the growing need for end-to-end temperature-controlled logistics in the pharmaceutical industry, particularly for sensitive biologics and cell and gene therapies. The Pan-European cold chain transportation network will also enable UPS to offer more efficient and reliable services across the continent, potentially reducing transit times and improving product integrity for healthcare customers.

This acquisition positions UPS to capitalize on the rapidly growing biopharma logistics market, which is projected to expand significantly in the coming years. The move aligns with the increasing demand for specialized logistics services in the healthcare sector, driven by the rise of personalized medicine and advanced therapies. By integrating Frigo-Trans' expertise, UPS can offer a more comprehensive suite of services to pharmaceutical companies, potentially attracting new clients and deepening relationships with existing ones. This strategic expansion in Europe also helps UPS diversify its geographic revenue streams and reduce dependence on any single market. The acquisition's success will largely depend on UPS's ability to effectively integrate Frigo-Trans' operations and leverage its specialized capabilities across its global network.

Acquisitions Accelerate Plan to Provide Healthcare Customers with End-to-End Temperature Controlled Solutions Across Europe

ATLANTA--(BUSINESS WIRE)-- UPS (NYSE: UPS) today announced that is has agreed to acquire Frigo-Trans, and its sister company BPL, (together “Frigo-Trans”) industry-leading, complex healthcare logistics providers based in Germany. Once completed, the acquisition will enhance UPS’s end-to-end capabilities throughout Europe for UPS Healthcare customers who increasingly require temperature-sensitive and time-critical logistics.

“The fast-paced innovation in the pharmaceutical industry is creating the need to have more integrated cold and frozen supply chains,” said UPS EVP and President of International, Healthcare and Supply Chain Solutions Kate Gutmann. “Frigo-Trans will help deepen our portfolio of solutions for our customers and accelerate our journey to become the number one complex healthcare logistics provider in the world addressing their needs.”

Frigo-Trans’ network includes temperature-controlled warehousing that covers six temperature zones from cryopreservation (-196°C) to ambient (+15° to +25°C); a Pan-European cold chain transportation solution and temperature-controlled and time-critical freight forwarding capabilities.

The transaction is expected to close in the first quarter of 2025, subject to customary regulatory reviews and approvals. The value and terms of the transaction are not being disclosed at this time.

For more information about UPS innovations and customer-driven solutions, visit about.ups.com

About UPS

UPS (NYSE: UPS) is one of the world’s largest companies, with 2023 revenue of $91.0 billion, and provides a broad range of integrated logistics solutions for customers in more than 200 countries and territories. Focused on its purpose statement, “Moving our world forward by delivering what matters,” the company’s approximately 500,000 employees embrace a strategy that is simply stated and powerfully executed: Customer First. People Led. Innovation Driven. UPS is committed to reducing its impact on the environment and supporting the communities we serve around the world. UPS also takes an unwavering stance in support of diversity, equity and inclusion. More information can be found at ups.com, about.ups.com and investors.ups.com.

About UPS Healthcare

UPS Healthcare delivers unparalleled healthcare logistics expertise to its customers around the world. UPS Healthcare has 17 million square feet of cGMP and GDP-compliant healthcare distribution space globally. Services include inventory management, cold chain packaging and shipping, storage and fulfillment of medical devices and lab and clinical trial logistics. UPS Healthcare's global infrastructure, UPS® Premier visibility service, track and trace technology and global quality system are well-suited to meet today's complex logistics demands for the pharmaceutical, medical device and laboratory diagnostic industries. Visit Healthcare.ups.com for more information.

About Frigo-Trans

Frigo-Trans provides an end-to-end warehouse and transportation solution for pharmaceutical and biotech customers. Frigo-Trans does this by utilizing best-in-class distribution facilities and a pharmacy-focused, Pan-European, cold-chain transportation network. Other value-added services include, but are not limited to, packaging, handling and inventory management. Headquartered in Fußgönheim, Germany, Frigo-Trans’s network expands across all countries in Europe.

About BPL

BPL offers individual transport management for GDP-compliant shipping of time-critical and temperature-sensitive products. BPL manages a high-quality network of air and ocean freight carriers along with customs clearance to meet the complex, cross border needs of customers. Temperature controlled packaging is an additional value-added service provided. BPL prioritizes serving biopharma customers with special temperature, quality and speed requirements. BPL is headquartered in Duesseldorf, Germany.

UPS Media Relations

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Source: UPS

FAQ

What companies is UPS (NYSE: UPS) acquiring in the healthcare logistics sector?

UPS is acquiring Frigo-Trans and its sister company BPL, which are industry-leading complex healthcare logistics providers based in Germany.

How will the Frigo-Trans acquisition benefit UPS's healthcare logistics capabilities?

The acquisition will enhance UPS's end-to-end temperature-controlled logistics capabilities across Europe, offering solutions for temperature-sensitive and time-critical healthcare logistics needs.

What temperature ranges does Frigo-Trans' warehousing cover?

Frigo-Trans' temperature-controlled warehousing covers six temperature zones, ranging from cryopreservation (-196°C) to ambient (+15° to +25°C).

When is the UPS acquisition of Frigo-Trans expected to close?

The transaction is expected to close in the first quarter of 2025, subject to customary regulatory reviews and approvals.

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