LOS ANGELES, July 14, 2017 /PRNewswire/ -- Cathay General
Bancorp (NASDAQ: CATY), the holding company for Cathay Bank,
announced today that it completed its previously-announced
acquisition of SinoPac Bancorp, the U.S. subsidiary of Bank SinoPac
Co. Ltd. and the parent company of Far East National Bank ("FENB"),
pursuant to the Stock Purchase Agreement between Cathay General
Bancorp and Bank SinoPac Co. Ltd., dated July 8, 2016. FENB currently
operates nine branches in California, and a representative office in
Beijing.
Under the terms of the Stock Purchase Agreement, the total
consideration was approximately $351.6
million plus additional post closing payments based on the
realization of certain assets of FENB. Cathay General Bancorp has
issued 926,192 shares of its common stock as consideration and the
remainder of the consideration is payable in cash. $100
million of the consideration was deferred and will be released
within one year based on the timing of the subsequent merger of
FENB and Cathay Bank and 10% of the consideration was held back and
will be released over a period of three years.
ABOUT CATHAY GENERAL BANCORP
Cathay General Bancorp is the holding company for Cathay Bank, a
California state-chartered bank,
and SinoPac Bancorp and its wholly owned subsidiary Far East
National Bank, a U.S. federally chartered bank.
Founded in 1962, Cathay Bank offers a wide range of financial
services. Cathay Bank currently operates 34 branches in
California, 12 branches in
New York State, three in the
Chicago, Illinois area, three in
Washington State, two in
Texas, one in Maryland, one in Massachusetts, one in Nevada, one in New
Jersey, one in Hong Kong,
and a representative office in Taipei and in Shanghai. Cathay Bank's website is found at
www.cathaybank.com.
Founded in 1974, Far East National Bank offers a wide range of
financial services. Far East National Bank operates nine
branches in California, and a
representative office in Beijing. Far East National Bank's
website is found at www.fareastnationalbank.com.
FORWARD-LOOKING STATEMENTS
Statements made in this press release, other than statements of
historical fact, are forward-looking statements within the meaning
of the applicable provisions of the Private Securities Litigation
Reform Act of 1995 regarding management's beliefs, projections, and
assumptions concerning future results and events. Forward-looking
statements are based on estimates, beliefs, projections, and
assumptions of management and are not guarantees of future
performance. These forward-looking statements are subject to
certain risks and uncertainties that could cause actual results to
differ materially from our historical experience and our present
expectations or projections. Some of these risks are described in
the Cathay General Bancorp's Annual Report on Form 10-K for the
year ended December 31, 2016 (Item 1A
in particular), other reports filed with the Securities and
Exchange Commission ("SEC"), and other filings Cathay General
Bancorp makes with the SEC from time to time. Cathay General
Bancorp has no intention and undertakes no obligation to update any
forward-looking statement or to publicly announce any revision of
any forward-looking statement to reflect future developments or
events, except as required by law.
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SOURCE Cathay General Bancorp