UPS Acquires Bomi Group

Shorter shipping times, greater production flexibility for shippers of time-sensitive medical products: The acquisition of the multinational logistics provider for healthcare enhances end-to-end capabilities in UPS’s global healthcare logistics. UPS is also increasing its capacity in Europe and Latin America.

(Atlanta) UPS has acquired Bomi Group, a leading multinational logistics provider in healthcare. UPS announced this today. The merger of the companies expands the UPS Healthcare network in Europe and Latin America with branches specifically tailored to the healthcare sector in 14 countries. Additionally, nearly 3,000 highly qualified Bomi Group team members will be integrated into UPS.

The transaction is expected to close by the end of the year, subject to customary regulatory review and approval. The value and terms of the transaction will not be disclosed at this time. J.P. Morgan Securities LLC acted as financial advisor to UPS.

“As a leading global logistics company in healthcare, Bomi expands our service portfolio and accelerates our path to becoming number one in complex healthcare logistics,” says Kate Gutmann, EVP and President of UPS International, Healthcare and Supply Chain Solutions. “The employees of UPS Healthcare and Bomi Group share similar values, and our cultures are firmly rooted in an unwavering focus on quality. The combination of our two teams will significantly enhance our healthcare customers’ ability to continue developing and delivering life-saving innovations.”

Bomi brings business relationships with over 150 multinational clients

Since 1985, Bomi Group has provided tailored services for the medtech and pharmaceutical sectors. It has built solid and long-lasting business relationships with over 150 multinational clients worldwide.

Key executives of Bomi Group, including CEO Marco Ruini, will continue to perform their roles to provide seamless service to their existing clients after the transaction closes. The employees of Bomi Group will also continue to play an important role in the combined organization.

“With over 35 years of experience in the healthcare logistics industry, our team has developed first-class services that meet and exceed the needs of our clients in medtech and pharmaceuticals,” says Ruini. “Joining the UPS team will enhance these capabilities and create an even more integrated and intelligent global network for our customers.”

Nearly four million more logistics space for temperature-sensitive healthcare products

Through the acquisition, UPS Healthcare is expanding its global capacity by more than 350 vehicles equipped for transporting temperature-sensitive healthcare products and nearly four million square feet of logistics space for time-sensitive and temperature-sensitive products. For UPS customers, this means shorter shipping times, greater production flexibility, and offerings that help them generate new business.

The acquisition will play a key role in delivering next-generation pharmaceutical and biological treatments that increasingly require time-sensitive and temperature-sensitive logistics.

“We are focused on building logistics capabilities and services in healthcare that enable our customers to deliver the latest innovations in healthcare,” said Wes Wheeler, President of UPS Healthcare. “We are excited to combine the talent, expertise, and capabilities of Bomi with UPS Healthcare – together we will offer our customers unparalleled solutions supported by UPS’s integrated and global intelligent logistics network.”

The acquisition of Bomi is part of UPS Healthcare’s ongoing expansion to meet growing demand. UPS Healthcare has doubled its global presence – including the acquisition of Bomi – since 2020. Recent expansions include newly constructed and soon-to-open state-of-the-art healthcare logistics facilities in Germany and Australia, as well as expanded locations in Hungary and the Netherlands.

New UPS Healthcare location in Gießen starting in 2023

UPS Healthcare will open its first logistics facility specifically focused on healthcare products in Gießen, Germany, at the beginning of 2023. This facility will feature a GMP and GDP certified area of 24,680 square meters with more than 30,000 pallet spaces. A wide range of healthcare products can be stored at temperatures of 2°C to 8°C, 15°C to 25°C, and down to -20°C.

The Gießen location connects Germany with the rapidly growing western and eastern European healthcare markets. From the Hessian city, both the European UPS air freight hub at Cologne Bonn Airport and the European UPS Healthcare hub in Roermond can be quickly supplied. This potentially opens up larger production windows for customers. Transit times for deliveries are shortened: 80 percent of shipments within Europe can already be delivered the next day. Important ports such as Rotterdam, Antwerp, and Amsterdam are also quickly accessible from Gießen.

UPS Healthcare has also recently expanded UPS Premier. The technology-based service can locate the position of sensitive shipments with an accuracy of three meters anywhere in the global UPS network, prioritize them, and track them. UPS Premier offers UPS Healthcare customers worldwide transparency, control, reliability, and the ability to recover products. These expansions and new services meet the complex and diverse needs of UPS Healthcare’s clientele and help them turn logistics into a competitive advantage.

Photo: © UPS