Public Storage, the largest self-storage provider in the US, has launched a A$1.9bn (€1.2bn) takeover bid for Australian-listed National Storage REIT (NSR).
NSR said the New York-listed real estate investment trust (REIT) is seeking to acquire all of the company’s issued stapled securities for a cash price of A$2.40 each by way of inter-conditional company and trust schemes.
NSR securities closed at A$2.26 last Friday.
NSR said the Public Storage proposal was subject to a number of customary conditions, including completion of due diligence, obtaining necessary board and regulatory approvals.
The bid from the US REIT came as the board of the Australian company was engaged in talks with Hong Kong-based Gaw Capital Partners, which in January submitted a confidential non-binding indicative proposal.
Gaw Capital is proposing to acquire 100% of the issued stapled securities of NSR, but as yet its bid price had not been made public.
The board said it noted that the price per NSR security offered under Public Storage proposal was superior to the price per NSR security offered under Gaw’s indicative proposal.
“There is no certainty that the discussions with either GAW or Public Storage will lead to a binding proposal or a proposal that the Board of NSR will recommend to NSR security holders,” the company said.
Public Storage has nearly 2,500 facilities across the US and has a stake in a Brussels-listed company, Shurgard Self Storage, owners of storage assets in Europe.