UPS to Acquire German Cold Chain Company
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UPS is acquiring a German firm that specializes in temperature-sensitive shipping to expand its health care logistics capabilities in Europe, the company announced Sept. 10.
The Sandy Springs, Ga.-based shipping giant said it has agreed to acquire Frigo-Trans and its sister company, BPL, as UPS Healthcare customers “increasingly require temperature-sensitive and time-critical logistics.”
UPS ranks No. 1 on the Transport Topics Top 100 list of the largest for-hire carriers in North America and No. 4 on the TT Top 100 list of the largest logistics companies.
Frigo-Trans, based in Fussgoenheim, Germany, has warehouses with six temperature zones ranging from cryopreservation at -196 degrees Celsius to ambient temperatures and a pharmacy-focused cold chain transportation network, according to UPS.
Dusseldorf-based BPL handles transport management with a network of freight carriers and offers temperature controlled packaging, serving biopharma customers.
The deal for the companies, which specialize in cold chain logistics, is expected to close in the first quarter of 2025 and is subject to regulatory approvals. UPS did not disclose the value or terms of the acquisition.
“The fast-paced innovation in the pharmaceutical industry is creating the need to have more integrated cold and frozen supply chains,” Kate Gutmann, UPS president of international, health care and supply chain solutions, said in a statement. The Frigo-Trans acquisition will “accelerate our journey to become the No. 1 complex health care logistics provider in the world addressing their needs.”
So far this year, UPS has made a flurry of moves to reduce costs and expand its business as it seeks to boost profitability.
This German deal is also the latest in a series of acquisitions UPS has made to expand its health care logistics business, including acquiring Bomi Group in 2022 to expand cold chain capabilities in Europe and Latin America and acquiring Transports Chabas Sante’s health care logistics unit last year in Southern France.
UPS also acquired Long Beach, Calif.-based MNX Global Logistics last year for its temperature-controlled logistics and other capabilities to expand services for the health care industry.
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