Allied’s Purchase Illustrates Mover Consolidation

February 23, 2000 10:52 AM, EST

Allied Worldwide plans to fatten its portfolio of subsidiaries with the acquisition of financially troubled Global Van Lines — a move that will further a trend of consolidation within the moving industry.

At least one other carrier, Wheaton World-Wide of Indianapolis, made a bid for Global, which had solicited offers from at least 12 other movers. The offers were received as part of a financial reorganization under Chapter 11, which Global filed in January before the U.S. Bankruptcy Court.

A spokesman for Global said the offers from Allied and Wheaton were similar, but that a majority of Global agents chose to deal with Allied.

Allied Worldwide was formed last year with the $450 million merger of North American Van Lines and Allied Van Lines. It is the second-largest moving conglomerate behind UniGroup Inc., whose divisions include United Van Lines and Mayflower Transit.

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