UPS Acquires Italian Pharmaceutical Logistics Firm

UPS, making its first acquisition in several years, bought a major Italian pharmaceutical logistics company, as the parcel giant expands its reach into supply chains for the pharmaceutical, biotech and medical device industries.

The carrier’s acquisition of Pieffe Group expands UPS’ presence in Italy through the gaining of a distribution center in Milan and one in Rome, totaling nearly 753,000-square-feet. Both centers, which include 12 cold storage areas, can be expanded.

UPS said Pieffe has 35 years of experience offering storage, distribution and cold chain services to some of the world’s leading pharmaceutical brands. Terms of the acquisition were not disclosed.

The announcement comes after UPS opened five facilities this year in North and South American, Europe and Asia. The global pharmaceuticals market is expected to reach $1.1 trillion by 2015, with China as the second-largest market for medicines behind  the U.S., according to a report by IMS Consulting Group, a global advisory and research firm for the health care industry.

-- Contact Mark Szakonyi at mszakonyi@joc.com. Follow him on Twitter @Szakonyi_JOC