Atlanta—April 25, 2013—Global logistics services provider United Parcel Service (UPS)announced it will purchase Hungary-based pharmaceutical logistics company CEMELOG Zrt, to continue its ongoing global growth and investment strategy. The acquisition will strengthen UPS's healthcare reach and expertise in Europe, to enable comprehensive, compliant services to customers in the pharmaceutical, biotech and medical device industries across the markets of Central and Eastern Europe.
“This acquisition is a continuation of our ongoing growth strategy across our business units and allows us to create innovative solutions for our customers that leverage UPS's global network,” said Scott Davis, Chairman and Chief Executive Officer, UPS. “It will position us well to meet the needs of healthcare companies in a key geographic location as they strive to regionalize logistics operations as a way to increase efficiencies.”
Based outside of Budapest, CEMELOG provided its customers across Central and Eastern Europe tailor-made healthcare logistics solutions for the last 14 years. The company helps healthcare clients maximize supply chain efficiencies; meet regulatory requirements; and deliver products reliably and securely.
“This is a tremendous development for our company,” said Eva Magyari, Chief Executive Officer, CEMELOG. “The sale serves the best interests of our employees and customers as it enables us to join a premier brand and global leader in healthcare logistics.”
The acquisition adds three additional facilities of approximately 255,000 square feet (24,000 square meters) of healthcare distribution space to UPS's current European network. The announcement follows the opening of three new dedicated healthcare facilities across Asia in October 2012 and the expansion of five facilities across North America in early 2013. UPS now operates more than 6.4 million square feet (nearly 595,000 square meters) of dedicated healthcare space in 41 facilities worldwide.
UPS expects to complete the transaction in the second quarter of 2013, subject to customary closing conditions. UBS is acting as financial advisor to UPS. Per company policy, terms of the deal are not disclosed.