Executives at capital-starved Huntington Savings & Loan, left stranded at the altar five times in their effort to find a mate with enough money to bail them out, have decided to try to raise $3 million to $6 million in new capital from current shareholders and new investors.
“I think it’s time to take the bull by the horns and recapitalize,” said Robert C. Terry, president of the Huntington Beach thrift. “We can’t wait for these people to come and make offers any more.”
The S&L; will await its fiscal year-end audit, due within two weeks, before drafting its plan and seeking regulatory approval, Terry said.
He said that Huntington has been approached by a number of potential buyers but that serious talks won’t start until after the audit is completed. If the S&L; decides to continue with its recapitalization instead of selling out, Pasadena architect Renato Corzo--a former suitor--has told executives that he would probably buy a large chunk of new stock, Terry said.
Settlements of several lawsuits it had pending for three years added nearly $200,000 of capital to its operation, but the S&L; still ended the first six months with about $500,000 in capital, well short of the $3.3 million regulators would require as a minimum.