Public Storage Refreshes Board in Consultation With Hedge Fund

Public Storage announced Tuesday the appointment of two new members to its board of trustees.Michelle Millstone-Shroff and Rebecca Owen join the board of the Glendale self-storage real estate investment trust following engagement with company shareholders, including funds advised by Elliott Investment Management, the company said.In connection with the appointments, Public Storage and activist hedge fund Elliott have entered into a cooperation agreement and an information sharing agreement to facilitate continued dialogue in advance of the company’s Investor Day scheduled for May 3.Chief Executive Joe Russell said Public Storage values input from its shareholders.“The company has strategic priorities focused on growth and is executing a clear strategy to drive sustainable value creation,” Russell said in a statement. “We are reinvesting in our existing portfolio and delivering innovations to improve the customer experience and reduce costs.”Chairman Ronald Havner Jr. welcomed Millstone-Shroff and Owen to the board.“Today’s actions will accelerate our company’s ongoing, comprehensive process to refresh the board and further improve corporate governance,” Havner said in a statement. “We are pleased to have collaborated with Elliott and other shareholders in connection with these actions.”As part of the cooperation agreement between Elliott and Public Storage, the hedge fund withdrew its nominees to the board and will support the board’s trustee nominees at Public Storage’s upcoming annual meeting. Both Millstone-Shroff and Owen were part of a six-person slate of nominees Elliott put forth last month, according to a story by financial news site Barron’s.Millstone-Shroff is a former executive with Bed, Bath & Beyond Inc. and its subsidiary, buybuy BABY. Owen is board chair at Battery Reef, a commercial real estate investment and management company she founded in January 2019.Shares of Public Storage (PSA) closed Tuesday down $2.83, or about 1.3 percent, to $217.37 on the New York Stock Exchange.