AltaPacific Bancorp, which owns Santa Rosa-based AltaPacific Bank, lost its bid to acquire a bank in Temecula.
In an attempted acquisition started in September, the bank sought to buy Temecula-based Commerce Bank, which has about $75 million in assets. Commerce Bank has a large shareholder, Mexican national Enrique Schon, who bought nearly 34 percent ownership of the bank in 2015. Schon opposed the merger and challenged its fairness with the Department of Business Oversight in California. Schon has his son and daughter on the board of Commerce Bank.
In a meeting in April, shareholders did not approve the merger.
“While we are greatly disappointed Commerce Bank of Temecula Valley’s shareholders did not approve the merger,” said Charles Hall, CEO of AltaPacific Bank, “we are excited with the success our new branches are experiencing in Riverside and San Bernardino.”
AltaPacific is privately owned and trades over the counter under ABNK. The business bank has branches in Santa Rosa, Covina, Ontario, Riverside, San Bernardino and Temecula.
AltaPacific reported net income for the second quarter at $1.9 million, or 31 cents a diluted share.
The bank had assets of $423 million at the end of June, up $21 million from the end of the first quarter.
Gross loans totaled $263 million, up $30 million from Dec. 31. Deposits were $329 million at the end of the quarter.
In May, the bank company’s board authorized use of $2 million to repurchase its shares through April 2018. In the first half of the year, AltaPacific repurchased 87,500 shares at an average price of $10.57.
James Dunn covers technology, biotech, law, the food industry, and banking and finance. Reach him at: email@example.com or 707-521-4257