DHL Group has agreed to acquire Nashville, Tennessee-based CryoPDP, a specialty courier that provides logistics services for clinical trials, biopharma, and cell and gene therapies, for $195 million, the integrated logistics carrier announced Monday.
The deal builds on DHL’s capabilities in pharmaceutical and life science logistics, an area that both FedEx and UPS are also investing heavily in because it presents higher returns than generic parcel shipping and is more resistant to economic downturns.
The health care logistics market is estimated to reach $152 billion next year, up from $130 billion in 2023 as an aging global population needs more drugs and biological medical products to deal with chronic disease, according to industry experts.
DHL’s life sciences and health care segment contributed more than 5 billion euros ($5.4 billion) in revenue to the group in 2024. DHL is based in Bonn, Germany.
CryoPDP specializes in white-glove courier services for the pharmaceutical and biosciences sectors. With operations in 15 countries, the company handles more than 600,000 shipments per year for customers and patients in more than 135 countries.
DHL’s resources and global parcel network will help CryoPDP expand into health care growth markets in Asia, Europe, the Middle East and Africa, the companies said. Under the DHL umbrella, CryoPDP will be better able to leverage the global airfreight capabilities of DHL Express and DHL Global Forwarding to make expedited deliveries.
DHL is buying CryoPDPfrom Cryoport Inc., which has other business units involved in supporting the temperature-controlled supply chain sector, a Cryoport representative said by email. The company expects the transaction, which is subject to regulatory approvals, to close in the second or third quarter.
“We are indeed pleased to build on our trusted relationship with the DHL Group. Working together we will bring an enhanced set of supply chain solutions to meet companies’ and patients’ critical supply chain needs,” said Cryoport CEO Jerrell Shelton, in a news release.
The acquisition fits with DHL’s strategy to become a major player in health care logistics by 2030, with an extensive temperature-controlled network, first- and last-mile specialty courier coverage, and integrated service offerings.
DHL said the integration of CryoPDP will also deliver cost savings per unit shipped and improve overall service in its specialized pharma logistics operations.
Health care logistics is also a growing priority for FedEx and UPS. Atlanta-based UPS last year said it plans to double revenue in health care logistics to $20 billion through organic growth and acquisitions by 2026. FedEx generates about $9 billion in annual health care revenue and is augmenting technological capabilities to help track and monitor temperature-sensitive, high-value life science shipments.
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