Cathay To Acquire SinoPac Bancorp - Quick Facts

(RTTNews) - Cathay General Bancorp (CATY) and Bank SinoPac Co. Ltd. announced they have signed a Stock Purchase Agreement for Cathay to acquire SinoPac Bancorp, the U.S. subsidiary of Bank SinoPac, for $340 million. The aggregate consideration mix paid to Bank SinoPac will be at least 90% cash, with Cathay having the option to pay up to 10% in Cathay common stock.

Cathay General expects the transaction to be approximately 4-5% accretive to GAAP earnings per share, excluding any one-time transaction costs and restructuring charges.

SinoPac Bancorp, through its subsidiary Far East National Bank, operates five branches in Los Angeles, one in Orange County, two in San Francisco, and one in Silicon Valley. As of March 31, 2016, SinoPac Bancorp reported, on a consolidated basis, total assets of $1.3 billion, total loans of $956 million, and total deposits of $964 million.