Great Western Bancorp, Inc. and HF Financial Corp. will become one as the two entities announced the transaction on Monday. At its core, the deal will expand Great Western Bank by overtaking Home Federal locations in numerous communities.

Until the close of the deal in the second quarter of 2016, very little will change. However, Home Federal President Stephen Bianchi says some employee turnover is expected eventually. “In any merger you’re concerned about the impact on people. Our customer-facing employees are needed and key to serving their current customers. While displaced colleagues will have opportunities to pursue internal job postings and the roughly 100 positions that open annually at Great Western Bank due to their growth.”

Great Western Bank headquarters are in Sioux Falls and CEO Ken Karels believes the agreement speaks to forward thinking at Home Federal. “The board of Home Federal picking a partner like Great Western that has its corporate office in Sioux Falls is a positive. We have a growing support operation in Sioux Falls versus going with an out-of-state or out-of-market acquirer.”

Once the merger is finalized, Great Western will serve 127 communities in 9 states. Sioux Falls is the only community where both banks have locations. Officials plan to close Great Western locations at 6th and Sycamore, 41st and Sycamore and the River Centre location downtown. One Home Federal location in the Hy-Vee at 26th and Marion Road will also close.

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