Riverview Bancorp in Vancouver, Wash., has reached a truce with the activist investment firm Ancora Advisors.
The $860 million-asset company on Aug. 26 named Ancora's James Chadwick to its board after it expanding it to nine members, according to a Friday news release. In return, Ancora agreed to refrain from staging a proxy fight, trying to force a sale of the company or attempting to exert control over the company's management.
The standstill agreement remains in effect until Riverview's 2017 annual meeting, or six months after the last day that an Ancora representative serves as a Riverview director, whichever is later.
"We … believe it will be productive to have an institutional shareholder represented on the board," Pat Sheaffer, Riverview's chairman and chief executive, said in the release. "[Chadwick] brings to the board significant financial expertise and experience in strategic investments."
Ancora in October had called for sale of Riverview, to maximize shareholder value.
Chadwick is director of research and portfolio manager at Ancora, a Cleveland firm that owned a 7.7% stake in Riverview, as of June 12. Chadwick was also named to the board of Riverview Community Bank.