Minstar, a publicly traded company headed by Minneapolis investor Irwin L. Jacobs, said Friday that it has sold its Bekins subsidiary to the Glendale-based moving company's president, Thomas E. Epley, for $66 million.
Under the deal, Epley will remain president and hold a majority stake in the company. Minstar, which is to receive $51 million in cash and the balance in notes, will retain a 40% interest in Bekins, Epley said.
Epley, who joined Bekins two years ago to run the company for Jacobs, said in an interview that he has completed a sharp cutback in overhead, particularly at corporate headquarters in Glendale, and anticipates no further retrenchment.
He said he expects to expand the company's basic household-moving business into such related transportation areas as specialty packing and moving of high-value items, such as antiques, and in offering regularly scheduled trucking of so-called LTL--or less-than-truckload--shipments.