A Midland City Alabama-based moving company is seizing an opportunity to gain an acquisition in the Guam market.
Covan Worldwide Moving Inc. has an eye on business in the territory as the United States is poised to increase military construction and deployment in the region.
Covan purchased Pacific Island Movers on March 7. The local company has 37 years of cargo service on Guam.
The Department of Defense spends more than $1.2 billion annually as a result of the high mobility of its forces. Moving is a critical component to service personnel and one that Covan hopes to take advantage of.
“We know there are some opportunities in Guam such as the military doing a lot of business here and 85% of the work we do worldwide with the military will go overseas ” said Jack Thompson the company’s new general manager.
With more than 90 years in the relocation industry Covan has 39 service centers all over the country and is equipped to meet the demands as a 50-state household mover and now in Guam.
“Pacific Island Movers represented 59 American military approved forwarders. We were one of these agents on file to move shipment to and from ” Thompson said.
Another key decision for the purchase was Pacific Island Movers’ employees. Thompson said the local company had a quality work force and Covan is keeping its inheritance of 55 employees working out of the Harmon facility. Gradually Covan will bring in new moving vehicles and upgrade its facility to bring it up to par with the company’s other 39 service centers. Covan is anticipating a busy summer with an increase in the military moving market and may hire more local employees.
Thompson said there are no plans to expand into Micronesia.
The history of Pacific Island Movers dates back more than three decades. The original company name was Asiatic Trans-Pacific then located in Oka Tamuning. Robert Barry acquired the company in the mid ‘80s and renamed it Pacific Island Movers. A young Ferdinand Sandoval started his career with Pacific Island Movers in 1995. Five years later Sandoval took over and procured the company. Throughout the years the local operation represented many military-approved forwarders and 13 years ago began a forwarding relationship with Covan.
Covan is a family-owned corporation founded by J.M. Coleman in 1914. MBJ