PASADENA, Calif.--(BUSINESS WIRE)--
East West Bancorp, Inc. (“East West”) (Nasdaq: EWBC), parent company of
East West Bank, completed the acquisition of MetroCorp Bancshares, Inc.
(“MetroCorp”) (Nasdaq: MCBI), parent of MetroBank, N.A. and Metro United
Bank, as of the close of business today.
MetroCorp operates 18 branches under its two subsidiary banks, MetroBank
and Metro United Bank. MetroBank operates 12 branches in Houston and
Dallas, and Metro United Bank operates 6 branches in Los Angeles, San
Francisco and San Diego. As of December 31, 2013, MetroCorp had total
assets of $1.62 billion, total loans of $1.22 billion, total deposits of
$1.34 billion and total equity of $179.2 million.
The final consideration paid in the acquisition of MetroCorp was $268.0
million, comprised of 5.6 million shares of East West Bancorp common
stock and $89.3 million in cash. Under the terms of the merger
agreement, announced September 18, 2013, MetroCorp shareholders are
receiving two thirds of the merger consideration in East West Bancorp
stock and one third in cash. This translates to 0.2985 shares of East
West Bancorp stock and $4.78 in cash per MetroCorp shareholder, subject
to cash in lieu of fractional shares.
“We are pleased to welcome the customers and employees of MetroCorp to
the East West family and are excited about the growth opportunities our
expanded presence in Texas will provide us,” said Dominic Ng, Chairman
and Chief Executive Officer of East West. “We look forward to offering
our full range of products and services to our new customers and we
anticipate the seamless integration of MetroCorp with East West.”
George M. Lee, who had served as Co-Chairman, President and Chief
Executive Officer of MetroCorp will now serve in a Senior Advisor role
at East West. Lee stated, “We are excited to be part of East West. We
believe that the in-depth knowledge we have of the Texas market combined
with the strength and scale East West offers will be beneficial to
MetroCorp’s employees, customers and shareholders.”
About East West
East West Bancorp is a publicly owned company with over $26 billion in
assets and is traded on the Nasdaq Global Select Market under the symbol
“EWBC”. The Company’s wholly owned subsidiary, East West Bank, is one of
the largest independent banks headquartered in California. East West is
a premier bank focused exclusively on the United States and Greater
China markets and operates over 130 locations worldwide, including in
the United States markets of California, Georgia, Nevada, New York,
Massachusetts, Texas and Washington. In Greater China, East West’s
presence includes a full service branch in Hong Kong and representative
offices in Beijing, Shenzhen and Taipei. Through a wholly-owned
subsidiary bank, East West’s presence in Greater China also includes
full service branches in Shanghai and Shantou and a representative
office in Guangzhou. For more information on East West Bancorp, visit
the Company's website at www.eastwestbank.com.
Forward-Looking Statements
This press release contains certain forward-looking information about
East West following the merger that is intended to be covered by the
safe harbor for “forward-looking statements” provided by the Private
Securities Litigation Reform Act of 1995. All statements other than
statements of historical fact are forward-looking statements. In some
cases, you can identify forward-looking statements by words such as
“may,” “hope,” “will,” “should,” “expect,” “plan,” “anticipate,”
“intend,” “believe,” “estimate,” “predict,” “potential,” “continue,”
“could,” “future” or the negative of those terms or other words of
similar meaning. You should carefully read forward-looking statements,
including statements that contain these words, because they discuss the
future expectations or state other “forward-looking” information about
East West. Such statements involve inherent risks and uncertainties,
many of which are difficult to predict and are generally beyond the
control of East West. Forward-looking statements speak only as of the
date they are made and we assume no duty to update such statements. In
addition to factors previously disclosed in reports filed by East West
and MetroCorp with the SEC, risks and uncertainties for each institution
and the combined institution include, but are not limited to: the
challenges of integrating and retaining key employees, the possibility
that any of the anticipated benefits of the merger will not be realized
or will not be realized within the expected time period; and the risk
that integration of MetroCorp’s operations with those of East West will
be materially delayed or will be more costly or difficult than expected.
East West Bancorp
Irene Oh
Chief Financial Officer
(626)
768-6360
Source: East West Bancorp