Business
Columbia Banking System, Inc. Enters California Through The Acquisition Of Bank Of Commerce Holdings
TACOMA, Wash. and SACRAMENTO, Calif., June 23, 2021 /PRNewswire/ -- Columbia Banking System, Inc. (NASDAQ: COLB, "Columbia"), the holding company for Columbia
About this update from Columbia Banking System, Inc.
[{"type":"text","content":"TACOMA, Wash. and SACRAMENTO, Calif., June 23, 2021 /PRNewswire/ -- Columbia Banking System, Inc. (NASDAQ: COLB, \"Columbia\"), the holding company for Columbia State Bank, and Bank of Commerce Holdings (NASDAQ: BOCH, \"Bank of Commerce\"), the holding company for Merchants Bank of Commerce, today announced the signing of a definitive agreement to merge Bank of Commerce into Columbia in an all-stock transaction valued at approximately $266.0 million, or $15.72 per share of Bank of Commerce common stock based on Columbia's stock price on June 23, 2021. This transaction represents Columbia's entrance into the California market, and the combined company will have over 150 branches with $19 billion in assets throughout Washington, Oregon, Idaho and California.\n\n \n \n \n \n \n \n\n \n\"We are delighted to welcome Merchants Bank of Commerce clients and employees into the Columbia Bank family, extending our footprint beyond the Northwest and into California,\" said Clint Stein, Columbia's President and Chief Executive Officer. \"We have tremendous respect for the Merchants Bank of Commerce franchise and view this as an opportunity to expand with an organization that aligns with our long-standing commitment to clients and community. Northern California shares many similarities with the Northwest in both metropolitan and rural markets, making expansion into this region a natural extension of our existing footprint. We appreciate how the management team has grown this franchise in a profitable manner and are excited to have them join Columbia to help manage our California expansion.\"\nThis transaction is expected to be accretive to Columbia's earnings with 3% accretion to earnings per share in 2022 and 4% accretion in 2023, and 0.3% accretion to tangible book value per share. All locations will continue operations under the Merchants Bank of Commerce brand as a division of Columbia Bank following the close of the merger. Bank of Commerce Chief Executive Officer Randy Eslick will continue leadership of the division in the role of President.\n\"We are pleased to embark on the next chapter for Merchants Bank of Commerce in partnership with Columbia. Our companies share a common set of cultural values that serve as the foundation of our commitment to our clients and the communities we serve,\" said Randy Eslick, President and Chief Execut...