Community West Bank has reached an agreement to acquire Fresno-based United Security Bank. Photo illustration by Cecilia Lopez

Two of the largest Central Valley-based banks, Community West Bancshares and United Security Bancshares, agreed to merge in an all stock transaction valued at around $191.9 million, creating a banking company with roughly $5 billion in assets. 

Under the merger agreement that was announced Tuesday morning, United Security Bancshares will merge into Community West Bancshares followed by the merger of both subsidiaries — United Security Bank into Community West Bank. The transaction is expected to close in the second quarter of 2026.

United Security Bancshares shareholders will receive 0.4520 shares of Community West Bancshares common stock for each share they own. Based on Community West’s Dec 16, closing price of $24.06, the deal values United Security shares at around $10.88 each.

Once the transaction is completed, Community West Bancshares shareholders are expected to own about 70.6% of the combined company, while United Security Bancshares will hold around 29.4% .

The merger positions Community West Bancshares as the largest community bank based on market share in Fresno, Madera, Kings and Tulare counties with a combined 9.27% market share, according to the Federal Deposit Insurance Corp. Bank of the Sierra, currently the largest locally owned bank, has 6.71% market share.

The combined institution will expand Community West’s footprint across Central California, with the addition of 13 United Security Bank full-service branches in Fresno, Madera, Kern, San Joaquin and Santa Clara counties. This adds to Community West’s banking locations across 12 counties.

Community West President and CEO James J. Kim will remain in charge and lead the combined companies. The board of directors will be made up of current Community West directors and two United Security Bank directors, including Jay Gill, who will serve as vice chairman and one additional who will be added after the transaction is completed. The company will remain under the Community West Bancshares name. 

United Security Bancshares CEO and President Dennis R. Woods will serve as chairman emeritus and will focus on client retention.

The Fresno-based United Security Bancshares was founded in 1987 and has locations in Fresno, Bakersfield, Campbell, Caruthers, Coalinga, Firebaugh, Fowler, Mendota, Oakhurst, San Joaquin and Taft.

Kim said the merger aligns with Community West’s long-term growth strategy and commitment to local decision making. Woods called the transaction a natural partnership that will increase lending capacity.

Upon completion, this will be Community West Bancshares’ seventh acquisition. The most recent came in April 2024 when they took on the Community West name.