LOS ANGELES--(BUSINESS WIRE)--CTBC Bank Corp. (USA) today announced that it has participated with other financial institutions in the $6.3 million recapitalization of Pan American Bank (OTCQB: PAMB).
Pan American Bank, founded in 1964 by former United States Treasurer Romana Bañuelos, is California’s oldest Latino community bank. The Bañuelos Family Trust remains the largest shareholder of Pan American Bank.
This recapitalization will increase the bank’s shareholders equity and provide needed funds to solidify the bank’s capital structure and support future growth.
“We believe in Pan American Bank is an essential institution in its community and CTBC Bank (USA) supports its revitalization with this new capital,” said Noor Menai, President & CEO of CTBC Bank (USA). “Pan American has played a key role in the economic ecosystem of Los Angeles and it’s an honor to assist them.”
“As we celebrate our fiftieth year in banking, we are very excited about raising fresh capital and re-launching our bank,” said Mona Bañuelos, trustee of the Bañuelos Trust and a long time director of the bank. “My mother founded this bank with the dream of providing vital services to our underserved communities. It is heartwarming to see major regional banks coming together to help restore our bank’s financial strength.”
This unique voting and non-voting stock offering was subscribed to by a number of other banks, including Banc of California, National Association, BBCN Bank, Cathay General Bancorp (CATY), Commercial Bank of California, Grandpoint Bank, Hanmi Bank, Heritage Oaks Bancorp (HEOP), HomeStreet Bank, MUFG Union Bank, N.A., Pacific Premier Bank, Pacific Western Bank, Preferred Bank (PFBC), Provident Savings Bank, F.S.B., Western Alliance Bank, and Wilshire Bank.
"We are extremely grateful to our investors who believe in our commitment to our communities, and for the support we have received from the regulators,” said César Rosas, VP of Finance and Investor Relations of Pan American Bank. “We look forward to getting back to business and continuing to help the Hispanic community with their banking needs.”
“Pan American Bank has been serving its community for fifty years and is a Community Development Financial Institution (CDFI),” said Jan Lynn Owen, Commissioner for the California Department of Business Oversight, Pan American Bank’s regulator. “This new capital will allow the bank to continue to meet the needs of an important constituent base, and expand the good work of this institution.”
"Pan American Bank, a Community Development Financial Institution, has been committed to serving the Latino community for decades. I am pleased to hear that it has been recapitalized and will continue serving the East L.A. community and the entire region with strong financial products," said U.S. Representative Lucille Roybal-Allard.
"The East L.A. Community has been well served by the oldest Latino Bank. Pan American Bank understands the importance of investing in our community and developing sophisticated consumers through strong financial literacy programs. The re-capitalization of Pan American Bank is a direct investment in our community that will yield great social, cultural and economic results," said Benjamin Cardenas, President of the East L.A. Residents Association.
Manatt, Phelps & Phillips, LLP advised CTBC Bank (USA) on its investment.
About CTBC Bank Corp. (USA)
CTBC Bank Corp. (USA) (formerly Chinatrust Bank U.S.A.) is a trusted and established institution providing commercial and retail customers with a real financial bridge to the next state of their lives and businesses. Founded in 1989 and now headquartered in Los Angeles, CTBC Bank operates branches in California, New Jersey, and New York. The bank’s operations include deposits, loans, credit cards, foreign exchange, letters of credit, wealth management, mobile, and electronic banking services. Customers benefit from access to large bank resources coupled with individual attention and customized service of a small bank. Its parent company, CTBC Bank Co. Ltd., is supported by $67 billion in assets and is among the largest banks in the world in terms of capital. For more information about CTBC Bank, visit www.ctbcbankusa.com.