UPS: Growing Healthcare Coldchain Logistics with Frigo-Trans

UPS, one of the world’s largest logistics companies with 2023 revenue of US$91bn, continues to push forward with its purpose of “delivering what matters”.

With a workforce of approximately 500,000 employees, the company focuses on being “Customer First, People Led, Innovation Driven”.

The latest step in this mission is its acquisition of German healthcare logistics firms Frigo-Trans and its sister company BPL, collectively known as Frigo-Trans.

This acquisition, first announced in September 2024, has now been completed, marking a significant expansion of UPS Healthcare’s capabilities across Europe.

It addresses the growing demand from pharmaceutical and biotech industries for temperature-sensitive and time-critical logistics.

Strategic growth in healthcare logistics

The acquisition highlights UPS’ commitment to meeting the complex needs of healthcare customers. With the pharmaceutical industry advancing rapidly, there is increasing reliance on cold and frozen supply chains.

Kate Gutmann, UPS’s Executive Vice President and President of International, Healthcare and Supply Chain Solutions, highlights the importance of this move: “The fast-paced innovation in the pharmaceutical industry is creating the need to have more integrated cold and frozen supply chains.

"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 operates a sophisticated network, including temperature-controlled warehousing and Pan-European cold-chain transportation. It handles products requiring temperatures from cryopreservation (-196°C) to ambient conditions (+15° to +25°C). These capabilities are crucial for biopharma customers, who demand precision and speed.

Meanwhile, BPL specialises in time-critical freight forwarding and managing a high-quality network of air and ocean freight carriers. Together, these companies will bolster UPS Healthcare’s ability to provide seamless, end-to-end logistics solutions.

Sustainability in focus

Sustainability is central to Frigo-Trans’s operations, aligning with UPS’s commitment to responsible business practices.

Frigo-Trans employs a fleet designed for minimal fuel consumption, a corporate headquarters built with ecological considerations and an innovative Cool Chain Control System for maximum energy efficiency. These measures reflect the company’s broader approach to sustainable logistics.

In its 2022 sustainability report, Reiner Roß, CEO of the company, emphasised the importance of integrating sustainability into every aspect of business: “It has never been more important to view sustainability not as a passing trend but as an integral part of a company’s philosophy.

"Only then can ecological, economic and social measures grow equally and contribute today and for future generations. In the current time of political uncertainty, sustainable thinking and above all, sustainable action are crucial for a liveable environment.”

These principles are particularly relevant in healthcare logistics, where precise environmental controls are essential for maintaining the integrity of pharmaceuticals and other sensitive products.

Looking ahead

The acquisition of Frigo-Trans and BPL strengthens UPS’s position as a global leader in healthcare logistics.

By expanding its network across Europe and integrating innovative, sustainable practices, the company is well-placed to meet the growing demands of the pharmaceutical and biotech industries.

The deal, now finalised, reflects a broader trend of logistics providers adapting to the increasing complexity of supply chains.

As healthcare customers continue to require faster and more reliable solutions, UPS is aiming to lead the way.

To read the full article in the magazine, click HERE.

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