, whose unsolicited takeover offer for Shurgard Storage Centers Inc. was rejected in July, said it may consider raising its bid after meeting with Shurgard shareholders who collectively own more than 50 percent of Shurgard outstanding shares. Based on the conversations, Public Storage said the feedback it received was clear: "Your shareholders strongly endorse a transaction with Public Storage and hope you will facilitate a merger of our two companies," the Glendale-based company said in a statement. Public Storage then urged the directors of Shurgard to reconsider their position that the company is "not for sale."
On Aug. 1, Public Storage proposed a merger in which each share of Shurgard common stock would be exchanged for 0.8 shares of Public Storage. Based on Public Storage's closing price on July 29, the last day of trading prior to the announcement, the transaction represents a 14 percent premium to Shurgard's stock price.
& #8226; Homestore Inc. agreed to reimburse defense costs of up to $11 million to Stuart Wolff, its former chairman and chief executive, for litigation related to the company's previous restatement of financial results. The Westlake Village-based real estate services provider has agreed not to seek repayment of the funds.
The company said Wolff incurred $7.6 million in fees and expenses. He has also has been involved in a federal criminal indictment, a Securities and Exchange Commission lawsuit and a shareholder class action.
& #8226; Nara Bancorp Inc. 's board asked Institutional Shareholder Services to reverse its recommendation that Nara shareholders vote against a board-backed proposal that would authorize the Los Angeles-based bank holding company to issue preferred stock.
The letter, signed by President and Chief Executive Ho Yang, seeks to assure the proxy advisory firm that the preferred offering won't be used as a shareholder rights plan or to otherwise forestall any offers to acquire control of the company. Yang also said Nara will not adopt a shareholder rights plan unless shareholders vote to approve it. Nara's annual meeting is scheduled for Sept. 30.
& #8226; Ameron International Corp. , a Pasadena-based producer of water transmission lines, reported net income of $13.5 million ($1.58 per diluted share) for the third quarter ended Aug. 28, compared with $8.8 million ($1.05) for the like period a year ago. Revenues rose to $193 million from $155.4 million in the year-ago period.
The prior year's results included the costs of terminating two executive benefit plans. Excluding the plan termination costs, Ameron would have earned 72 cents per share in the third quarter of 2004.
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