HopFed and Sumner in Tennessee Terminate Merger

By Sarah Todd August 23, 2013, 6:23 p.m. EDT 1 Min Read

Community banking

Activist Investor Wins Board Seat at HopFed in Kentucky

Shareholders at HopFed Bancorp have elected a director nominated by a critic of the Hopkinsville, Ky., company's latest acquisition deal.

By Andy Peters

May 22
Compensation

Stilwell Slams HopFed CEO's Pay Package

HopFed is fighting back against claims by Joseph Stilwell that its CEO is overpaid.

By Andy Peters

May 2
M&A

HopFed in Kentucky to Buy Sumner in Tennessee

HopFed Bancorp in Hopkinsville, Ky., is bolstering its presence in neighboring Tennessee with a deal to buy Sumner Bank & Trust in Gallatin.

By Brian Browdie

February 12

HopFed Bancorp (HFBC) in Hopkinsville, Ky., and Sumner Bank & Trust in Gallatin, Tenn., have terminated plans to merge.

The companies called off the sale after Sumner failed to meet a "certain performance requirement," HopFed said in a press release. The companies provided no details on the performance requirement.

The $949 million-asset HopFed had agreed to pay $14.3 million in cash for the $184 million-asset Sumner in February. Sumner has three branches in middle Tennessee and three loan production offices.

The deal's demise could be viewed as a victory for activist investor Joseph Stilwell, who had objected to the acquisition. In May, Stilwell succeeded in getting a representative placed on HopFed's board.

It was a good week for Stilwell. On Thursday, Victor Karpiak announced plans to resign as chief executive of First Financial Northwest (FFNW) in Renton, Wash. Stilwell, who frequently clashed with Karpiak, also has a representative, also has a representative on First Financial's board.

Sarah Todd

Deputy Editor, BankThink