HomeStreet acquires two banks: Fortune and Yakima
- Erin Van Bronkhorst[1]
- Associate Editor- Puget Sound Business Journal
- This email address is being protected from spambots. You need JavaScript enabled to view it.[2] | Twitter[3]
HomeStreet Bank[4] said Friday it is acquiring Fortune Bank[5], of Seattle, for about $27 million and Yakima National Bank, of Yakima, for about $10.3 million.
The Seattle-based bank, owned by HomeStreet Inc. (NASDAQ: HMST), said the transactions have been approved by the boards of all three banks. They still need regulatory approval as well as approval of Fortune and Yakima banks' shareholders. The Yakima bank is owned by YNB Financial Services Corp. Both transactions are expected to close in the fourth quarter of 2013.
In Seattle, HomeStreet recently decided to turn the tables and start financing condo projects again[6], with several deals in the works. Developers have said this kind of financing has been difficult to find in recent years.
HomeStreet CEO and President Mark Mason[7] said the bank is excited about the purchase of both banks.
"We admire their approach to community banking and we share their commitment to community service and a desire to provide great service and real value to their customers," he said. HomeStreet will also acquire two teams of community bankers as well as executives David Straus[8], CEO of Fortune Bank, and Jeff Newgard[9], CEO of Yakima National Bank, Mason said.
He said he expects both transactions to add to earnings per share in the first year.
Fortune Bank operates two branches in Seattle and Bellevue with total assets of approximately $142 million, loans of $103 million and deposits of $121 million as of June 30, HomeStreet said.
Yakima National Bank currently operates four branches in Yakima, Selah, Sunnyside and Kennewick. Total assets were approximately $125 million, loans were $94 million and deposits totaled $114 million as of June 30, HomeStreet said.
References
- ^ Erin Van Bronkhorst (feeds.bizjournals.com)
- ^ This email address is being protected from spambots. You need JavaScript enabled to view it. (feeds.bizjournals.com)
- ^ Twitter (twitter.com)
- ^ HomeStreet Bank (www.bizjournals.com)
- ^ Fortune Bank (www.bizjournals.com)
- ^ and start financing condo projects again (www.bizjournals.com)
- ^ Mark Mason (feeds.bizjournals.com)
- ^ David Straus (feeds.bizjournals.com)
- ^ Jeff Newgard (feeds.bizjournals.com)