Shareholders of International Bank yesterday approved changes in capital structure that will make it easier for the Washington-based company to make new acquisitions.
Negotiations with two potential acquisitions already are in progress, president Josef Tressler said following the annual shareholders' meeting here, where the company was founded.
Tressler did not disclose the names of the companies IB is seeking to buy, but said one is a California life insurance company and the other is a manufacturer.
One and perhaps both of those acquisitions could be completed by year end, Tressler said.
International Bank is also interested in entering the savings and loan field, said George Olmsted, chairman and principal stockholder of the company. Tressler pointed out that the company "is in a position to get back into acquisitions" now that it is "rid of the restrictions of a bank holding company."
IB sold its interest in Financial General Bankshares Inc., the Washington bank holding company, last year, and the Federal Reserve Board ruled IB is no longer limited by provisions of banking laws which restrict its ownership of non-banking companies to 5 percent.
To make acquisition easier, shareholders voted to reduce the par value of the company's preferred stock from $10 to $1, the same par as its two classic of commons stock. At the same time the shareholders authorized increasing the number of preferred shares from 8 million to 80 million and the number of common shares from 7.5 million to 10 million.
Electing the management's slate of director without opposition, IB shareholders also approved a switch from semi-annual to quarterly dividends.