Written by The Business Journal Staff
Central Valley Community Bancorp, the parent company of Fresno-based Central Valley Community Bank, announced today the successful completion of its acquisition of Sierra Vista Bank (SVB).
As part of the acquisition, SVB’s three full-service branches located in Folsom and Fair Oaks (Sacramento County) and Cameron Park (El Dorado County) merged with and into Central Valley Community Bank.
The acquisition, which was first announced on April 29, was concluded following receipt of SVB shareholder approval and all required regulatory approvals.
As of June 30, SVB had total assets of approximately $157 million.
The Sierra Vista Bank name and physical signage change to Central Valley Community Bank will be completed during the month of October. The conversion of all operational systems is planned for the weekend of November 4-6.
In connection with the merger, the company is issuing an aggregate of approximately 1.059 million shares of its common stock and aggregate cash of $9.469 million to SVB shareholders.
Each shareholder was entitled to make an election to receive all cash, all stock, or a combination of cash and stock. Based on the closing price of the company’s common stock on September 30 of $15.86 per share, the amount to be paid to SVB common shareholders is approximately $26.26 million.
The Central Valley Community Bank directors and management team, led by James M. Ford, president and CEO, will continue to lead the combined team of professional bankers. Gary D. Gall, president, CEO and director of Sierra Vista Bank, will join Central Valley Community Bancorp’s board of directors.
This SVB merger represents the fourth acquisition for Central Valley Community Bancorp, which acquired Visalia Community Bank on July 1, 2013, Service First Bancorp and its subsidiary Service FirstBank on November 12, 2008, and Bank of Madera County on January 1, 2005.
“We are proud of the hard work accomplished to finalize our fourth acquisition and we look forward to the successful blending of our two like-minded community banks, each well-known for its excellent customer service and community advocacy,” Ford said. “The merger will enhance the bank’s future performance with the addition of outstanding new employees whose loyal customers value the same excellent quality service standards as our bank.”