APPAREL
Shares of Irvine-based Billabong USA’s parent surged last week during trading in Australia after a U.S. hedge fund called for the removal of most of the company’s board. Australia-based Billabong International Ltd. is traded on the Australian Securities Exchange. Billabong shareholder Coastal Capital International Ltd. called for removal of all directors except founder Gordon Merchant and Colette Paull, one of the company’s first employees. Coastal Capital, which has a 5% stake in the company, also called for its own representation on the board, along with shareholder approval of any future debt or equity deals for the company. Billabong said in a statement that its board was reviewing the request.
HEALTHCARE
Fountain Valley-based MemorialCare Health System said last week that its Seaside Health Plan is open for business in Los Angeles County, with plans to expand into Orange County. Seaside, a nonprofit health plan, will offer customers a range of plans, including Medicare and Medi-Cal. MemorialCare said it will serve individuals and families who are members of partners, such as Health Net Inc., Anthem Blue Cross and Blue Shield of California. MemorialCare created Seaside after buying assets from Signal Hill-based Universal Care last November. It said Seaside also will participate in a state demonstration project addressing the needs of children with certain diseases and chronic conditions.
NONPROFITS
Dennis Szakacs will leave his post as Orange County Museum of Art’s director and chief executive by the end of the year. He came on board in 2003. The museum’s facilities were renovated, its annual budget increased from $2.5 million to nearly $5 million, and its endowment increased from $7 million to $11 million during his tenure. Szakacs said he wants to explore new opportunities but will continue to collaborate with the museum as a consultant until mid-2014 after leaving his full-time post on Dec. 31. The board retained Heidrick & Struggles International Incorporated in Chicago to conduct a search to replace Szakacs.
REAL ESTATE
Irvine-based Standard Pacific Corp. is said to be one of at least three companies in the running to buy Beverly Hills-based homebuilder Shapell Homes, according to a report in the Wall Street Journal. Standard Pacific, the largest homebuilder based in Orange County, is among the final bidders for Shapell, along with Horsham, Pa.-based Toll Brothers Inc. and Brookfield Homes Corp. of Fairfax, Va., according to the report. A purchase price in the $1.5 billion range is reportedly expected for privately-held Shapell. Standard Pacific has a market value of about $2.6 billion, factoring in preferred stock. Irvine-based TRI Pointe Homes Inc. also is reported to have taken a look at buying Shapell but is no longer in the running to acquire the company.
TECHNOLOGY
Broadcom Corp. is set to boost its supply of patents and engineers for a push into the latest standard for wireless communication with a $164 million deal for certain assets of Tokyo-based Renesas Electronics Corp.
Irvine-based Broadcom said the cash buy brings assets related to Long Term Evolution technology that’s poised to accelerate the company’s first multimode LTE System-on-a-Chip release early next year.
The transaction, which has been approved by Broadcom’s and Renesas’ boards, is expected to close in the next few months. LTE is the latest wireless communication standard that boosts download speeds, improves Internet access and allows users to do more with their smart phones. The company expects the acquisition to add to earnings in 2015.
CORRECTION
The Aug. 26 edition gave incorrect numbers for Quantum Fuel Systems Technologies Worldwide Inc.’s second-quarter net loss and the net loss of a year earlier. The correct figures are a net loss of $4.5 million and a net loss of $7 million, respectively.
ECONOMIC INDICATOR
UP: Sales by Orange County-based auto brands in August. Irvine-based Mazda North American Operations had the largest percentage gain, up 26.4% from a year ago to 28,106 vehicles, the company’s best August in 10 years. Mitsubishi Motors North America Inc. in Cypress had a 24.3% increase to 5,281. Hyundai Motor America Inc. sold 66,101 vehicles for a record August, up 8% from a year ago period for Hyundai, which has temporary headquarters in Costa Mesa. Sales for Irvine-based Kia Motors America Inc. rose 4% to 52,025.
