PacWest acquires CapitalSource Inc
PacWest Bancorp announced that they will buy CapitalSource Inc. The purchase price for the deal was tagged at US$2.29 billion in cash along with stock options. The deal would be the second acquisition for PacWest in eight months. The last acquisition was for First California Financial, where PacWest paid US$231 million in all stock deal last November. The PacWest-CapitalSource union is the largest regional bank acquisition since the US$3.7 billion, M&T Bank Corp-Hudson City Bancorp Inc merger in August of 2012.
PacWest CEO Matt Wagner will be the head of the new company. The national lending operations for CapitalSource will continue to be a division of Pacific Western Bank, which stands as PacWest's banking subsidiary. JP Morgan Securities LLC was hired as the financial adviser of CapitalSource for the deal. Jefferies LLC acted as the lead financial consultant for PacWest Bancorp.
PacWest Bancorp is a bank holding company with approximately 67 Pacific Western Bank branches located in California and holds an estimated US$5.5 billion worth of assets as of December 2012.
CapitalSource, Inc. is a leading commercial lender that offers senior debt loans to middle-market companies all throughout the United States.
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