Atlanta — UPS (NYSE: UPS) announced plans to acquire Andlauer Healthcare Group Inc. (TSX: AND) for $1.6 billion, a move that will significantly enhance its healthcare logistics capabilities, particularly in temperature-controlled transportation and supply chain services across North America. The acquisition reflects UPS’s continued push to become a global leader in complex healthcare logistics.
Under the terms of the agreement, shareholders of Canada-based AHG will receive CAD $55.00 per share in cash, valuing the deal at approximately CAD $2.2 billion. AHG specializes in customized third-party logistics and cold chain transportation for the healthcare sector, with a strong presence in Canada and the U.S.
“This acquisition is a strategic step forward as next-generation treatments introduce more complexity and demand in the healthcare logistics space,” said Kate Gutmann, Executive Vice President and President of International, Healthcare and Supply Chain Solutions at UPS. “Andlauer Healthcare Group strengthens our global cold chain capabilities, helping us support customers with precise, end-to-end logistics and drive better patient outcomes.”
The deal is part of UPS Healthcare’s broader strategy to expand its global footprint and elevate its role as a premier provider of premium and complex logistics services. The acquisition will add AHG’s network of temperature-controlled facilities and specialized transport capabilities to UPS’s existing healthcare infrastructure.
Following the transaction’s close, Michael Andlauer, founder and CEO of AHG, will lead UPS Canada Healthcare and continue overseeing the AHG business. The move is intended to ensure continuity and leverage AHG’s expertise as UPS integrates the new capabilities into its broader healthcare operations.
“UPS Healthcare and AHG share a strong commitment to patient care and service quality,” Andlauer said. “Combining our teams will enable us to offer an even more comprehensive suite of healthcare logistics services across Canada and beyond.”
The acquisition, which is subject to customary closing conditions, is expected to bolster UPS Healthcare’s ability to meet growing demand for cold chain and temperature-sensitive logistics, a vital need as advanced therapies and biologics become more prevalent in the global pharmaceutical landscape.
