PORTLAND, Ore. (AP) — Umpqua Holdings Corp. says it is buying fellow regional bank Sterling Financial Corp. in a $2 billion cash-and-stock deal.
The two said Wednesday they will combine under the Umpqua name to form a bank with about $22 billion in assets and branches in Oregon, Washington, Idaho, California and Nevada. Umpqua is based in Portland, Ore., while Sterling has its headquarters in Spokane, Wash.
Under the terms of the deal, Sterling shareholders will get 1.671 shares of Umpqua common stock and $2.18 cash for each share of Sterling common stock. The deal is expected to close in the first half of next year.
Umpqua CEO Ray Davis will remain at the helm of the combined bank, while Sterling CEO Greg Seibly will become a co-president.