United Parcel Service Inc. plans to invest 1 billion euros ($1.06 billion) in Europe to expand its package delivery network, German magazine Wirtschaftswoche reported on Sunday, without citing its sources.

"We will strongly expand our network in Germany and the rest of Europe," the magazine quoted UPS Germany chief Frank Sportolari as saying in the article, adding the number of parcel shops and sorting centers would rise with the investment.

FedEx Corp. is to buy Dutch package delivery firm TNT Express for an agreed 4.4 billion euros ($4.66 billion), stepping up the challenge to rivals UPS and Deutsche Post.

Sportolari said UPS "has lost time" after its own attempt in 2013 to take over TNT was blocked by European regulators due to concerns it would stifle competition.