Bank Mutual in Milwaukee has agreed to support an activist investor's nominee to its board.

Mike Shafir, an analyst at Clover Partners, will be nominated to the board of the $2.5 billion-asset Bank Mutual as its annual meeting in May. Clover agreed to drop its plan to nominate a slate of directors to Bank Mutual's board, and said it won't oppose Bank Mutual's nominees.

Bank Mutual will expand its board to 10 members from nine to add Shafir.

Clover owns a 4.1% stake in Bank Mutual. Clover last month urged the $3.4 billion-asset Financial Institutions in Warsaw, N.Y., to explore a sale.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.