AltaPacific Bank, the youngest bank in Sonoma County, announced a $17.4 million deal Wednesday to acquire Stellar Business Bank, which operates a single branch in Covina.
If the merger is approved by shareholders, the combined company will have approximately $190 million in assets, $109 million in loans and $127 million in deposits.
"We believe this merger will be the first of many in the growth and development of AltaPacific Bancorp," said Charles O. Hall, president and chief executive of the Santa Rosa business bank.
The deal is expected to be completed in the fourth quarter. Stellar shareholders will receive 0.8443 shares of AltaPacific common stock for each share of Stellar common stock.
Founded in 2006, AltaPacific has offices in Santa Rosa and Rancho Cucamonga. It intends to continue operating the Stellar branch in Covina.
AltaPacific stock closed at $9 a share Wednesday in over-the-counter trading, unchanged from Tuesday. Its shares have traded between $7.66 to $10.95 over the past year.
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