December 21, 2015 (Shareholders Foundation) - An investor who currently holds shares of HF Financial Corp. (NASDAQ:HFFC), filed a lawsuit in effort to halt the proposed takeover of HF Financial Corp. by Great Western Bancorp, Inc. for a value of $19.70 per share.
The plaintiff alleges that the defendants breached their fiduciary duties owed to NASDAQ:HFFC stockholders by agreeing to sell HF Financial Corp too cheaply via an unfair process to Great Western Bancorp, Inc

On November 30, 2015 Great Western Bancorp, Inc. (NYSE: GWB) and HF Financial Corp. (NASDAQ:HFFC) jointly announced the signing of a merger agreement pursuant to which Great Western Bancorp, Inc. will acquire HF Financial Corp., the holding company and parent of Home Federal Bank (“Home Federal”) in a cash and stock transaction valued at $19.70 per share or $139.5 million in the aggregate, using the closing price of GWB stock as of November 27, 2015.

However, the plaintiff claims that the proposed consideration NASDAQ:HFFC shareholders will receive is grossly inadequate and undervalues HF Financial Corp. Indeed, at least one analyst has set the high target price for NASDAQ:HFFC shares at $22.00 per share. In addition, the plaintiff alleges that the process is also unfair to NASDAQ:HFFC stockholders.