{"id":12840,"date":"2025-04-02T17:00:25","date_gmt":"2025-04-02T17:00:25","guid":{"rendered":"https:\/\/finderica.com\/?p=12840"},"modified":"2025-04-02T17:00:25","modified_gmt":"2025-04-02T17:00:25","slug":"hope-bancorp-closes-drawn-out-deal-to-buy-hawaii-bank","status":"publish","type":"post","link":"https:\/\/finderica.com\/?p=12840","title":{"rendered":"Hope Bancorp closes drawn-out deal to buy Hawaii bank"},"content":{"rendered":"
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Hope Bancorp closed its acquisition of Territorial Bancorp.<\/figcaption>

Adobe Stock<\/p>\n<\/p><\/div>\n<\/figure>\n<\/div><\/div>\n

Hope Bancorp closed its acquisition of Territorial Bancorp in Honolulu on Wednesday, culminating a lengthy and at times controversial deal process.<\/p>\n

When the Los Angeles-based Hope announced the all-stock deal<\/u><\/ps-link> in April 2024, it had expected to close it by the end of the year. But its $78.6 million offer was challenged by a competing bid from an investor group led by Blue Hill Advisors and former Bank of Hawaii CEO Allan Landon<\/u><\/ps-link>. The Blue Hill-led group initially made a cash bid in August that valued Territorial at $12 per share and then upped that offer to $12.50 per share, about 50% more than Hope’s estimated price tag.<\/p>\n

“We think our offer is clearly superior,” Landon told American Banker last fall.<\/p>\n

But Territorial’s board of directors ultimately rejected the competing offer, saying it was “inferior” to Hope’s because it presented a range of uncertainties. These included a lack of evidence that the competing offer would get prompt regulatory approval. Territorial noted it would have to pay Hope a $3 million termination fee to pursue the investor group’s offer, and it said the deal with Hope also prevented it from considering competing offers that were not clearly superior.<\/p>\n

Ultimately, Territorial’s shareholders voted in favor<\/u><\/ps-link> of the sale to Hope in November, with more than 5 million votes cast for the deal versus 1.9 million against it. Regulators approved the transaction in March.<\/p>\n

“We are excited to have completed this combination and to officially welcome Territorial customers and team members to the Bank of Hope family,” Kevin Kim, Hope’s chairman and CEO, said in a statement Wednesday.<\/p>\n

With the acquisition, Hope gains about $2 billion of assets and entrance to Hawaii. It now is a $19 billion-asset bank with about 80 branches in nine states. About 30 of those branches are in Hawaii. Hope has traditionally focused on Korean-American communities.<\/p>\n

“We believe this combination will strengthen our position as one of the leading Asian-American banks in the country, add a stable, low-cost deposit base to the combined company, and accelerate the diversification of our loan mix with the addition of a residential mortgage portfolio with excellent asset quality,” Kim said in a statement last month after securing regulators’ go-ahead.<\/p>\n

“We look forward to building on Territorial’s legacy of exemplary customer service and support of local communities in a strategically important market,” he added.<\/p>\n

Hope said in the release Wednesday that the former Territorial Savings Bank now operates under the trade name Territorial Savings, a division of Bank of Hope. Hope kept the name to preserve “the 100-plus year legacy of the Territorial brand, culture and commitment to local communities,” it said.<\/p>\n

Territorial was the fifth largest deposit-holder in Hawaii, according to the Federal Deposit Insurance Corp. The merger creates the largest regional bank catering to multi-ethnic customers across the continental U.S. and the Hawaiian Islands, Hope said.<\/p>\n

When the deal was announced, Hope said it expected the transaction to be about 6% dilutive to its tangible book value, and that it would earn back the dilution in three years. Hopet had also estimated that its shareholders would own about 94.4% of the combined entity, while Territorial shareholders would own about 5.6%.<\/p>\n<\/div>\n

Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Hope Bancorp closed its acquisition of Territorial Bancorp.Adobe Stock Hope Bancorp closed its acquisition of Territorial Bancorp in Honolulu on Wednesday, culminating a lengthy and at times controversial deal process. When the Los Angeles-based Hope announced the all-stock deal in April 2024, it had expected to close it by the end of the year. But<\/p>\n","protected":false},"author":1,"featured_media":12841,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rank_math_lock_modified_date":false,"footnotes":""},"categories":[218],"tags":[1644,136,23,4364,1236,5324,211,1643],"class_list":{"0":"post-12840","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-banking","8":"tag-bancorp","9":"tag-bank","10":"tag-buy","11":"tag-closes","12":"tag-deal","13":"tag-drawnout","14":"tag-hawaii","15":"tag-hope"},"_links":{"self":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts\/12840","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=12840"}],"version-history":[{"count":0,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/posts\/12840\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=\/wp\/v2\/media\/12841"}],"wp:attachment":[{"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=12840"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=12840"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/finderica.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=12840"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}