UPS has continued its expansion in the healthcare logistics sector through the acquisition of North America-based Andlauer Healthcare Group (AHG).
Under the terms of the agreement, AHG shareholders will receive C$$55.00 per share in cash, representing a total purchase price of approximately C$2.2bn.
The Canada-headquartered company offers logistics, distribution and packaging solutions for healthcare manufacturers as well as airfreight forwarding, ground transportation, dedicated delivery and last-mile services.
Kate Gutmann, executive vice president and president of international, healthcare and supply chain solutions for UPS, said: “Next-generation treatments are driving more complexity than ever, expanding the needs of healthcare customers and increasing demand for the integrated, end-to-end cold chain solutions UPS Healthcare provides around the world.
“AHG will help us deliver expanded capability to our customers, driving best in class patient outcomes while contributing to our overall growth plans across the business.
“This acquisition marks another important step in our declaration to be the number one complex healthcare logistics and premium international logistics provider in the world.”
Closing of the transaction is targeted for the second half of 2025, subject to AHG’s shareholder approval, customary regulatory reviews and approvals, and other customary closing conditions.
The acquisition is the second investment in healthcare by UPS this year. In January, the express giant completed the acquisition of Germany-based Frigo-Trans and its sister company BPL, which provide complex healthcare logistics solutions across Europe.
UPS has also this year opened three new cross-docking facilities in Milan, Frankfurt and Mexico City that provide support for pharmaceutical shipments with time and temperature control requirements.
