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Shurgard Changes Tack on Takeover Proposal

Article-Shurgard Changes Tack on Takeover Proposal

Shurgard Storage Centers Inc., which has been warding off an unsolicited takeover bid from Public Storage Inc., now says it will consider strategic options including joint ventures or a sale of the company.

Shurgard Storage Centers Inc., which has been warding off an unsolicited takeover bid from Public Storage Inc., now says it will consider strategic options including joint ventures or a sale of the company. On Aug. 1, Public Storage offered $2.4 billion for the company. A month later, it claimed it would raise that bid if Shurgard would disclose information regarding its business. According to Public Storage, the combined companies could cut administrative and advertising expenses. But Shurgard, whose takeover defenses would make a hostile acquisition difficult, said it was not for sale and refused to discuss a deal.

Now Shurgard has hired Citigroup Global Markets and Banc of America Securities as financial advisers. It said in a written statement that it has spent considerable time listening to shareholders and now feels its a good opportunity to explore the options available to the company. For more information, visit http://investorrelations.shurgard.com.