Public Storage to Acquire National Storage Affiliates for $10.5B, Price Target $305
Public Storage announced a $10.5 billion all-stock acquisition of National Storage Affiliates, creating a combined pro-forma equity capitalization of about $57 billion and an enterprise value of $77 billion. William Blair raised its price target to $305, implying 5.78% upside from the recent trading price.
1. William Blair Raises Price Target
A William Blair analyst set a price target of $305 for Public Storage, indicating a 5.78% potential increase from PSA's recent trading price.
2. $10.5B NSA Acquisition
Public Storage agreed to acquire National Storage Affiliates in an all-stock transaction valued at approximately $10.5 billion, offering NSA shareholders 0.14 PSA shares per NSA share, implying $41.68 per share.
3. Pro Forma Valuation
The merger will create a combined entity with about $57 billion in pro-forma equity market capitalization and approximately $77 billion in enterprise value, adding over 1,000 properties to PSA's portfolio.
4. Market Reaction and Joint Venture
NSA shares surged nearly 28% post-announcement while PSA shares fell 3.6%, and the deal establishes a joint venture covering 313 properties across 28 states and Puerto Rico, with NSA operating partnership unitholders owning roughly 80%.