EUREKA, Calif. - Humboldt Bancorp announced late Wednesday that it has a deal to buy Tehama Bancorp in Red Bluff, Calif., for about $35 million in stock.
Tehama, with six branches and $233 million of assets, would operate as of one of four Humboldt subsidiaries in Northern California. Its shareholders would receive 1.775 shares of Humboldt common stock - $20.41 worth at Humboldt's closing price Tuesday - for each share owned. The deal is expected to be completed in the first quarter.
Humboldt, with $530 million of assets, and Tehama jointly own Bancorp Financial Services Inc., a $35 million-asset leasing and finance company in Sacramento. The leasing company would become a subsidiary of Humboldt. Humboldt also owns Humboldt Bank, Capitol Valley Bank in Roseville, and Capitol Thrift and Loan Association in Napa.