DHL Supply Chain to Acquire Health Care Specialist SDS Rx
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DHL Supply Chain will buy Tampa, Fla.-based final-mile and health care logistics specialist SDS Rx for an undisclosed sum, .
The SDS Rx acquisition is the second purchase of a health care logistics provider in 2025 by the DHL Group unit as part of a worldwide expansion in the high-margin segment, mirroring initiatives by the company’s peers at the sharp end of the Transport Topics Top 50 list of the largest global freight companies.
DHL Supply Chain ranks No. 5 on the global freight TT50 and No. 13 on the TT Top 100 list of the largest logistics companies in North America.
SDS Rx offers final-mile delivery and specialized health care transportation for long-term care and specialty pharmacies, radiopharmacies and health system networks.
DHL said Sept. 9 the deal enhances the company’s ability to deliver integrated, time-critical solutions in every stage of the life sciences and health care supply chain, particularly its same-day and expedited options.
“The life sciences and health care sector is projected to grow at a compound annual growth rate of 11% through 2030. Specialty pharmacy already accounts for approximately 50% of total prescription drug spending in the U.S., and the number of patients served by specialty pharmacies grew by 12% between 2018 and 2022,” said Mark Kunar, CEO of DHL Supply Chain North America.
“The increasing demand for specialty pharma and health care solutions presents significant opportunities for DHL to leverage its scale, expertise and commitment to operational excellence. With this acquisition, we are expanding our health care logistics capabilities, attracting a new segment of health care customers, and reinforcing our position as a trusted partner in building resilient and connected health care supply chains,” Kunar added.
Kunar, previously DHL Supply Chain North America’s chief financial officer and chief strategy officer, replaced Patrick Kelleher as CEO in July. Kelleher became GXO Logistics CEO in August.
All SDS Rx employees will be retained. SDS Rx operations will be integrated into DHL Supply Chain North America’s Life Science & Healthcare business, and all teams will continue to operate under local leadership, DHL said.
Earlier in 2025, DHL acquired white-glove logistics specialist Cryopdp from Nashville, Tenn.-based Cryoport for an undisclosed sum. Cryopdp specializes in logistics for clinical trials, biopharma, and cell and gene therapies.
Headquartered just outside Paris, Cryopdp handles more than 600,000 shipments per year, with customers and patients in over 135 countries.
The SDS and Cryopdp deals enhance DHL’s expertise in cold chain management and specialty pharma logistics, the company said.
DHL plans to spend more than $1.1 billion over the coming five years to boost its North America health care logistics operations as part of a nearly $2.3 billion expansion globally.
The strategy is one leg of a more wide-ranging plan to raise the logistics behemoth’s revenue by 50% by 2030 by focusing on fast-growing and high-margin niche markets.
(Krisztian Bocsi/Bloomberg)
In 2024, DHL Group revenue rose 3% year on year to $95.2 billion. The company’s existing life sciences and health care business contributed more than $5 billion in global revenue in 2024.
Fellow logistics giants, such as UPS Inc. and FedEx Corp., are targeting growth in the higher-margin life sciences shipping segment.
In January, UPS completed the acquisition of Germany’s Frigo-Trans and sister company BPL, which was announced in September 2024.
Atlanta-based UPS ranks No. 1 on the TT Top 100 list of the largest for-hire carriers in North America, and UPS Supply Chain Solutions is No. 5 on the logistics TT100.
FedEx Chief Customer Officer Brie Carere, meanwhile, said during a March 20 earnings call that FedEx would be onboarding nearly $400 million in new annualized health care revenue in the following 90 days and end its fiscal 2025 on May 31 with about $9 billion in health care revenue.
FedEx ranks No. 2 on the for-hire TT100, No. 2 on the TT Top 50 global freight list and No. 43 on the logistics TT100.
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