Shareholders of Territorial Savings Bank have approved its merger with Bank of Hope. The merger now requires only federal and state regulatory approvals in California and Hawaii.
On November 6, Territorial Bank held an online shareholder meeting to vote on the merger with Bank of Hope. More than half of Territorial Bank shareholders voted in favor of the merger.
Shareholders have been closely watching the decision. In August, Blue Hill Advisors, an investment firm led by former banker and investor Allan Landon, made a higher bid than Bank of Hope’s offer. Territorial Bank’s board of directors said it had considered the new offer but cited uncertainties, including financing, and recommended the merger with Bank of Hope to shareholders.
Kevin Kim, CEO of Bank of Hope, said, “We are delighted that the shareholders have approved the merger. The merger will help strengthen Bank of Hope’s presence as the leading Asian-American bank in the country.”
“The merger is a great fit for the long-term future of Territorial Bank,” said Allan Kitagawa, CEO of Territorial Bank.
The merger is subject to the approval of the California and Hawaii state governments, the Fed, the FDIC, and other regulatory agencies. “With the approval of the bank’s shareholders, the likelihood of the merger closing has increased significantly,” said a Korean-American Banker.
Bank of Hope and Territorial Bank announced in April that they would merge into a 100% stock exchange. According to the announcement, Territorial Bank shareholders will receive 0.8048 Bank of Hope shares for every Territorial Bank share.
BY WONHEE CHO, HOONSIK WOO [woo.hoonsik@koreadaily.com]
