Thrift Pressured To Grow or Sell Adding Branches

A South Jersey thrift that has been under pressure from a shareholders' group to expand or sell out announced last week that it is opening two new branches.

IBSF Financial Corp., which has $750 million in assets and eight branches, said it is adding the branches in Camden County. The company's subsidiary, Inter-Boro Savings and Loan Association, has about an 8% share of deposits in the county, thrift officials said.

Matthew Kennedy, executive vice president and treasurer, said the expansion is part of a five-year plan to grow by branching or acquisition.

"What we're trying to do is increase our presence in Camden County," he said.

But Mr. Kennedy refused to discuss whether the move was an effort to placate a dissident shareholders group led by Lawrence B. Seidman, who owns a 7.7% stake in the thrift.

Mr. Seidman said that "the concept of an expansion is good" but that he needed more information on the branches, such as location and cost, before deciding whether the move is a good one.

Mr. Seidman said he was also pleased by IBSF's authorization last week to repurchase as many as 522,942 shares, or about 5%, of its common stock.

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