Latest news with #ClintStein
Yahoo
25-04-2025
- Business
- Yahoo
Columbia to expand in SoCal with $2B acquisition of Pacific Premier
This story was originally published on Banking Dive. To receive daily news and insights, subscribe to our free daily Banking Dive newsletter. Tacoma, Washington-based Columbia Banking System amplified its push into Southern California on Wednesday, announcing it would acquire Irvine-based Pacific Premier Bank in a $2 billion, all-stock transaction that it expects to close in the second half of this year. The deal marks Columbia's second multibillion-dollar acquisition since October 2021, when it agreed to purchase Oregon-based Umpqua Bank for $5.2 billion. Though Columbia was the acquirer, the company's retail bank network uses the Umpqua brand. Columbia is walking that back in Wednesday's deal, though. The company plans to tag its network as Columbia Bank later this year 'to ensure brand clarity as Umpqua Bank deepens its expansion throughout the West,' it said. The name change would align the retail brand with the holding company, as well as its wealth management and advisory arm, its private bank and its trust team, Columbia said. Acquiring Pacific Premier would add roughly $18 billion in assets to Columbia and accelerate the bank's expansion in Southern California 'by approximately a decade,' said the lender, which would crack the top 10 in deposit market share in the area. The combined entity would count about $70 billion in assets after the transaction closes, the banks said. The deal would also avail Columbia clients to Pacific Premier's homeowners association banking and custodial trust verticals, the banks noted. Pacific Premier clients, by the same measure, would gain access to Columbia's treasury management products and wealth management services. "This combination truly establishes the leading banking franchise in the Western region,' Columbia CEO Clint Stein said Wednesday in a statement. 'It is a natural and strategic fit that strengthens our competitive position in Southern California, enhances our service offerings, and elevates our performance.' Columbia said it expects to gain roughly $900 million in value creation after $146 million in transaction expenses. The bank projected it would earn back its tangible book value dilution within three years. As part of the deal, Pacific Premier stockholders will receive 0.9150 of a share of Columbia common stock for every Pacific Premier share they own. That comes out to $20.83 per share, based on Columbia's closing stock price of $22.77 from Tuesday. Three Pacific Premier directors, including the bank's CEO, Steve Gardner, will join Columbia's board once the transaction closes. Pacific Premier stockholders will own roughly 30% of Columbia's outstanding shares from that point, the banks said. The deal's $2 billion value easily makes it the most valuable banking tie-up of 2025 so far – matching the richest deals completed in 2024 (UMB's $2 billion acquisition of Heartland Financial, and SouthState's $2 billion purchase of Independent Bank). It also continues the momentum in mergers and acquisitions after the Federal Reserve and Office of the Comptroller of the Currency last week gave the final approvals necessary to close Capital One's $35.3 billion purchase of Discover. 'We are thrilled to have the opportunity to join Columbia, a company whose culture, business model, and credit discipline align with our own,' Gardner said. 'The combination of these two companies operating in growing markets provides a great opportunity for our teams to continue to deliver high-quality, relationship-based banking products, services, and expertise to our clients, and to continue to generate long-term value for our stockholders.' Recommended Reading WaFd to buy Luther Burbank in $654M deal to enter California Sign in to access your portfolio
Yahoo
25-04-2025
- Business
- Yahoo
Columbia Bank announces latest acquisition, set to expand California interests
Tacoma-based Columbia Banking System on Wednesday announced the planned acquisition of a California-based bank. Columbia and Irvine, California-based Pacific Premier Bancorp announced entering a definitive merger agreement. Under the terms, Columbia will acquire Pacific Premier in an all-stock transaction. The combined institution will have approximately $70 billion in assets, according to a joint news release. The deal faces regulatory approvals and the approval of Columbia's and Pacific Premier's stockholders. It is anticipated to close in the second half of this year. 'This combination truly establishes the leading banking franchise in the Western region,' said Clint Stein, president, CEO, and director of Columbia, in a statement. 'It is a natural and strategic fit that strengthens our competitive position in Southern California, enhances our service offerings, and elevates our performance.' Pacific Premier chairman, president and CEO Steve Gardner said, 'We have worked tirelessly for more than two decades to build a strong franchise at Pacific Premier. We are thrilled to have the opportunity to join Columbia, a company whose culture, business model, and credit discipline align with our own.' Under the merger's terms, Pacific Premier stockholders would receive 0.9150 of a share of Columbia common stock for each Pacific Premier share they own, according to the release. The merger is valued at approximately $2 billion, or $20.83 per Pacific Premier share, based on Columbia's closing stock price of $22.77 on April 22, the release noted. After closing, Pacific Premier stockholders will own approximately 30% of Columbia's outstanding shares of common stock. Three Pacific Premier directors, including Steve Gardner and two current Pacific Premier directors to be approved by Columbia and Pacific Premier, will join the Columbia board upon merger completion. The agreement announced Wednesday was unanimously approved by the Boards of Directors of Columbia and Pacific Premier. While Pacific Premier customers would gain access to Columbia's Treasury Management products and Wealth Management services, Columbia customers would gain access to Pacific Premier's own specialized products, including Homeowners Association (HOA) Banking and Custodial Trust. Columbia is the parent company of Umpqua Bank. The two announced their own merger in 2021 and completed in 2023. Wednesday's release noted that Umpqua Bank plans to change its name to Columbia Bank later this year, 'to ensure brand clarity as Umpqua Bank deepens its expansion throughout the West and to simplify the bank's family of brands.' This means Columbia branches in the region will be switching back to that name, following previous rebranding as Umpqua. The release also noted that the merger with Premier, 'accelerates Columbia's expansion in Southern California by approximately a decade, moving its deposit market share to a top-10 position.'
Reuters
25-04-2025
- Business
- Reuters
Columbia Banking to acquire Pacific Premier in a $2 billion deal
April 23 (Reuters) - Columbia Banking System (COLB.O), opens new tab will acquire Pacific Premier Bancorp (PPBI.O), opens new tab in an all-stock deal for about $2 billion, the companies said on Wednesday, adding to the growing consolidation in the industry amid market uncertainty. U.S. regional bank mergers have seen a notable rise in recent times as lenders are looking to strengthen their balance sheets and to compete better against larger rivals, as the market trudges through President Donald Trump's fluctuating tariff decisions. Lower consumer confidence due to these tariffs may curb spending and dampen loan demand. Pacific Premier shareholders will receive 0.9150 shares of Columbia for each stock held, valuing the bank at $20.83 each, representing a 3.6% premium to the closing price on Wednesday. Following the merger's completion, expected in the second half of 2025, Pacific Premier stockholders will own about 30% of Columbia's outstanding shares of common stock. "We expect the transaction to have minimal impact on Columbia's capital ratios, and we do not need to raise additional capital to support the deal," Clint Stein, president and CEO of Columbia Banking, said in a conference call. Shares of Columbia Banking fell 2.2% while those of Pacific Premier rose 5% after the bell. The acquisition will help Columbia Banking expand its presence in the Western U.S. with over $57 billion in deposits and is projected to deliver mid-teens EPS accretion to the bank. "This combination truly establishes the leading banking franchise in the Western region," Stein said in a statement. The combined company will have about $70 billion in assets. Three directors of Pacific Premier, including President and CEO Steve Gardner, will join the Columbia board once the merger is complete. Piper Sandler & Co acted as the financial adviser to Columbia, and Keefe, Bruyette & Woods, a Stifel company, was Pacific Premier's adviser. Umpqua Bank, a subsidiary of Columbia Banking System, plans to change its name to Columbia Bank later in the year for brand clarity.
Yahoo
24-04-2025
- Business
- Yahoo
Columbia Bank announces latest acquisition, set to expand California interests
Tacoma-based Columbia Banking System on Wednesday announced the planned acquisition of a California-based bank. Columbia and Irvine, California-based Pacific Premier Bancorp announced entering a definitive merger agreement. Under the terms, Columbia will acquire Pacific Premier in an all-stock transaction. The combined institution will have approximately $70 billion in assets, according to a joint news release. The deal faces regulatory approvals and the approval of Columbia's and Pacific Premier's stockholders. It is anticipated to close in the second half of this year. 'This combination truly establishes the leading banking franchise in the Western region,' said Clint Stein, president, CEO, and director of Columbia, in a statement. 'It is a natural and strategic fit that strengthens our competitive position in Southern California, enhances our service offerings, and elevates our performance.' Pacific Premier chairman, president and CEO Steve Gardner said, 'We have worked tirelessly for more than two decades to build a strong franchise at Pacific Premier. We are thrilled to have the opportunity to join Columbia, a company whose culture, business model, and credit discipline align with our own.' Under the merger's terms, Pacific Premier stockholders would receive 0.9150 of a share of Columbia common stock for each Pacific Premier share they own, according to the release. The merger is valued at approximately $2 billion, or $20.83 per Pacific Premier share, based on Columbia's closing stock price of $22.77 on April 22, the release noted. After closing, Pacific Premier stockholders will own approximately 30% of Columbia's outstanding shares of common stock. Three Pacific Premier directors, including Steve Gardner and two current Pacific Premier directors to be approved by Columbia and Pacific Premier, will join the Columbia board upon merger completion. The agreement announced Wednesday was unanimously approved by the Boards of Directors of Columbia and Pacific Premier. While Pacific Premier customers would gain access to Columbia's Treasury Management products and Wealth Management services, Columbia customers would gain access to Pacific Premier's own specialized products, including Homeowners Association (HOA) Banking and Custodial Trust. Columbia is the parent company of Umpqua Bank. The two announced their own merger in 2021 and completed in 2023. Wednesday's release noted that Umpqua Bank plans to change its name to Columbia Bank later this year, 'to ensure brand clarity as Umpqua Bank deepens its expansion throughout the West and to simplify the bank's family of brands.' This means Columbia branches in the region will be switching back to that name, following previous rebranding as Umpqua. The release also noted that the merger with Premier, 'accelerates Columbia's expansion in Southern California by approximately a decade, moving its deposit market share to a top-10 position.'
Yahoo
24-04-2025
- Business
- Yahoo
Columbia Banking to acquire Pacific Premier in $2bn deal
Columbia Banking System has agreed to acquire Pacific Premier Bancorp in an all-stock deal valued at around $2bn. The merged entity will have around $70bn in assets. Under the agreed terms, Pacific Premier shareholders will receive 0.9150 shares of Columbia common stock for each share held, representing $20.83 per Pacific Premier share based on Columbia's stock price as of 22 April 2025. Following the combination, Pacific Premier shareholders will own about 30% of Columbia's outstanding shares. The boards of both companies have unanimously approved the deal. Columbia subsidiary Umpqua Bank will change its name to Columbia Bank later this year to align with the holding company and its various brands. Pacific Premier chairman, president and CEO Steve Gardner said: 'The combination of these two companies operating in growing markets provides a great opportunity for our teams to continue to deliver high-quality, relationship-based banking products, services, and expertise to our clients, and to continue to generate long-term value for our stockholders.' The deal is expected to bolster Columbia's position as a 'leading' regional bank in the West, with over $57bn in deposits across key states, including California, Oregon, and Washington. Additionally, the merger will broaden Columbia's product offerings, incorporating Pacific Premier's strengths in specialised banking sectors such as Homeowners Association Banking and Custodial Trust services. Clients of Pacific Premier will also gain access to Columbia's Treasury Management and Wealth Management services. Financially, the merger is anticipated to yield mid-teens earnings per share (EPS) accretion for Columbia, with tangible book value dilution expected to be recovered within three years. Columbia president, CEO and director Clint Stein said: 'This combination truly establishes the leading banking franchise in the Western region. 'It is a natural and strategic fit that strengthens our competitive position in Southern California, enhances our service offerings, and elevates our performance.' The deal awaits regulatory approvals and stockholder consent, with completion expected in the latter half of 2025. Last month, Umpqua Bank opened its first retail branch and commercial office in Denver, Colorado, continuing its expansion in the Western US. This follows its entry into the Colorado market in 2022, where it began offering commercial real estate services. "Columbia Banking to acquire Pacific Premier in $2bn deal" was originally created and published by Retail Banker International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
