First PacTrust Bancorp, Inc. acquired 100% stake in The Private Bank of California in a deal that closed July 1. First PacTrust Bancorp also held 100% stake in two other banks, namely Beach Business Bank and PacTrust Bank.
The new acquisition was pending approval from regulators. According to Robert Franko, PacTrust Bank President and CEO, "PacTrust Bank, Private Bank, Beach Bank and there was another one acquired last year called Gateway Business Bank - all of those would be merged into a single entity." As a result, the holding bank would have only one subsidiary bank. "While this process isn't exactly new in the industry - a significant amount of mergers and acquisitions have taken place in the banking industry since the economic downturn and collapse of Bear Stearns - First PacTrust Bancorp's strategy is unique to Southern California," said Franko.
The total assets of First Pac have reached a total of more than US$3 billion after the acquisition. In addition, Beach Business Bank was named The Private Bank of California.
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