We report on the coalescence of a two-dimensional (2D) chain of La@C(82) metallofullerene molecules encapsulated inside a single-wall carbon nanotube (SWNT). 2D packing of metallofullerenes is known to adopt a zigzag arrangement and cause elliptical distortion to the cross-section of the SWNT host. We show that after coalescence of the metallofullerenes into an inner nanotube the carbon nanotube host returns to its original circular cross-section. This is due to a relaxation of the strain caused by the packing of the encapsulated La@C(82) molecules into the nanotube. We identify the formation of some novel but transient fullerene-based structures formed during the intermediate stages of coalescence of the La@C(82) into an inner nanotube. These results highlight the flexible nature of SWNTs and their ability to adapt their cross-sectional profile depending upon forces induced by material encapsulated within.