February 12, 2018
IRVINE, Calif.–(BUSINESS WIRE)–
Pacific Premier Bancorp, Inc. (PPBI) (the “Company,” “Pacific Premier,” “we,” “us” or “our”), the holding company of Pacific Premier Bank (“Pacific Premier Bank”), and Grandpoint Capital, Inc. (OTC Pink: GPNC) (“Grandpoint”) today announced they have entered into a definitive agreement under which Pacific Premier will acquire Grandpoint in an all-stock transaction valued at approximately $641.2 million, or $18.57 per share, based on a closing price for Pacific Premier’s common stock of $39.10 as of February 9, 2018.
The Company expects the transaction to be immediately accretive to 2018 earnings per share, 8.6% accretive to earnings per share in 2019, and approximately 2.4% dilutive to tangible book value per share with a 1.2 year earn back period.
Grandpoint Capital, Inc., the holding company of Grandpoint Bank, is headquartered in Los Angeles, California, with $3.2 billion in total assets, $2.4 billion in gross loans and $2.4 billion in total deposits as of December 31, 2017. Grandpoint Bank operates 14 regional offices in Southern California, Arizona and Vancouver, Washington. The transaction will increase Pacific Premier’s total assets to approximately $11.7 billion on a pro forma basis.
Steven R. Gardner, Chairman, President and Chief Executive Officer of Pacific Premier, commented, “Grandpoint is a highly attractive business banking franchise that we have known for many years and believe will be an excellent strategic and cultural fit with our existing franchise. The expansion of our organization remains a key focus of our long-term strategic plan as we build Pacific Premier into the leading commercial bank headquartered in Southern California. With this acquisition, we will surpass $10 billion in total assets, which we believe will allow us to further leverage our operational scale. Our increased market presence in and beyond Southern California will allow us to take advantage of organic and strategic growth opportunities that we anticipate will further enhance shareholder value.”
“We are excited to join Pacific Premier and believe this combined company is one of the most attractive commercial banks headquartered in Southern California,” said Don Griffith, Chairman and Chief Executive Officer of Grandpoint. “On a combined basis, Pacific Premier will offer greater capital resources and an expanded array of products and services, which we believe will be beneficial to our clients and our employees. We are excited about the opportunities that will be created from this merger and look forward to the combined success going forward.”
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