Heritage Oaks Bancorp (HEOP: Quote), the holding company for Heritage Oaks Bank, said Monday that it will acquire Mission Community Bancorp, the holding company for Mission Community Bank, in a deal that includes $8.0 million in cash and 7,541,353 shares of Heritage Oaks common stock, having an aggregate value of about $56.4 million, based on the closing price of Heritage Oaks common stock on October 18, of $6.42 per share.
Heritage Oaks Bank and Mission Community Bank will be merged, and the new organization, Heritage Oaks Bank, will have about $1.5 billion in assets.
The merger is anticipated to close in February 2014.
Mission Community Bank is headquartered in San Luis Obispo and currently has five branch locations from Paso Robles to Santa Maria and a loan production office in Ventura County. Paso Robles-headquartered Heritage Oaks Bank has operations along the Central Coast from Paso Robles into Ventura County.
The boards of directors of Mission Community and Heritage Oaks approved the deal, and all directors and senior executive officers of both organizations have signed voting agreements in support of the deal.
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by RTT Staff Writer
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