Nine months after word first leaked that Manheim Auctions was planning to acquire its competitor, ADT Automotive, and despite the objections of ADESA Corp. and others, the deal was finalized last month.
In January, Manheim agreed to buy ADT Automotive and its 28 U.S. auto auctions from Tyco International Inc. for about $1 billion. Under terms of the settlement with the Federal Trade Commission, Manheim agreed to sell eight of the ADT auctions and one of its own auctions to ADESA. That transaction took place Oct. 7.
Manheim now consists of 86 North American auctions, 126 business units worldwide and 34,200 employees, 5,600 of which are from ADT.
Some of the employees making the move to Manheim were several key executives. Among them are Nick Peluso, who will be president of Manheim's logistics group; David Young and Kelly Conger, who will be regional vice presidents; Jack Nizza, who will work on the General Motors account; and Chuck Novince, who will assist on the DaimlerChrysler account.
"We're pleased to welcome the ADT Automotive employees into the Manheim family," says Manheim President and CEO Dennis Berry, "We're looking forward to combining these two great auction companies.
"Our companies were similar in many ways," Mr. Berry continues. "We both have long, rich histories. We both have excellent facilities and provide quality services. And, most important, we both have experienced and dedicated professionals who know the auction business. These strengths will continue to drive Manheim forward in the future."
The larger Manheim has instituted new regional operating and sales structures to reflect the company's growth. The 86 auctions are organized into eight regions, each with a regional vice president, reporting to Dave Harrison, senior vice president of operations.
Jamie Porter, senior vice president of special operations, will oversee the company's expanded national sales effort.
"As we move forward, combining the best of ADT and Manheim, we'll continue to focus on the basics of the business - helping customers buy and sell more vehicles more quickly and efficiently," says Mr. Berry. "There's no doubt that Manheim now has the most expansive and complete array of value-added auction and remarketing services in the industry."
Immediately after announcing that the ADT deal was finalized, Manheim kicked off a new communications campaign called "Expect More with Manheim."
The new effort is aimed at both internal and external audiences. It will start with Manheim employees and work outward to customers.
"This is much more than a marketing campaign or an employee awareness program," explains Mr. Berry. "It is a comprehensive initiative across all of our company's communication channels that brings one clear message into focus - we are in business to help dealers succeed."