Aberdeen, Wash. based Pacific Financial Corporation (OTCBB: PFLC) announced today its subsidiary, Bank of the Pacific, has entered into a definitive agreement to acquire Sterling Savings Bank branches in Astoria, Seaside and Aberdeen from Sterling Financial Corporation. The transaction will expand Bank of the Pacifics operations to 17 branches in Washington and 3 branches in Oregon.
Under the terms of the agreement, Bank of the Pacific will acquire approximately $50 million of deposits, paying a deposit premium of 2.77% on core in-market deposits assumed. Additionally, approximately $6 million of performing loans will be acquired.
We are very excited about expanding our footprint with these branch locations, particularly in Oregon. This compliments nicely our current branch construction in Warrenton, Oregon and will provide our new and existing customers with added convenience and service in Clatsop County, as well as boosting our presence in Aberdeen, Washington. said Dennis Long, President and CEO.
The transaction, which is subject to regulatory approval and other customary conditions of closing, is expected to be completed during the second quarter of 2013. Upon completion of the acquisition, the three Sterling Bank branches will operate under the Bank of the Pacific name, and will become part of the Bank of the Pacifics branch network of locations in the Washington and Oregon coastal regions.
Graham & Dunn, PC served as the legal advisor to Bank of the Pacific.
Pacific Financial Corporation of Aberdeen, Wash., is the bank holding company for Bank of the Pacific, a state chartered and federally insured commercial bank. Bank of the Pacific offers banking products and services to small-to-medium sized businesses and professionals in Washington and Oregon. As of Dec. 31, 2012, the Company had assets of $644 million and operated 16 branches in the communities of Grays Harbor, Pacific, Whatcom, Skagit and Wahkiakum counties in the State of Washington, and one branch in Clatsop County, Oregon.