Pacific Premier To Acquire Heritage Oaks In Stock Deal - Quick Facts

(RTTNews) - Pacific Premier Bancorp, Inc. (PPBI), the holding company of Pacific Premier Bank, and Heritage Oaks Bancorp (HEOP) announced they have entered into a definitive agreement under which Pacific Premier will acquire Heritage Oaks in a stock transaction. The holders of Heritage Oaks common stock will have the right to receive 0.3471 shares of Pacific Premier common stock for each share of Heritage Oaks common stock they own. Existing Pacific Premier shareholders will own approximately 69.9% of the outstanding shares of the combined company and Heritage Oaks shareholders are expected to own approximately 30.1%. The aggregate merger consideration is approximately $405.6 million or $11.68 per share of Heritage Oaks common stock.

Heritage Oaks, the holding company of Heritage Oaks Bank, is headquartered in Paso Robles, California, with $2.0 billion in total assets, $1.3 billion in gross loans and $1.6 billion in total deposits at September 30, 2016. Heritage Oaks has 12 branches located in San Luis Obispo County and Santa Barbara County and a loan production office located in Ventura County.

Pacific Premier Bancorp expects the transaction will be immediately accretive to tangible book value per share and 5.2% accretive to earnings per share in 2018. The transaction will increase Pacific Premier's total assets to approximately $6.0 billion on a pro forma basis.