Stock photo via GraphicStock.
Stock photo via GraphicStock.

Cathay General Bancorp, the holding company for Cathay Bank, announced Monday that it has completed its merger with Asia Bancshares Inc. — a transaction valued at nearly $140 million.

As a result of the transaction completed Friday, Asia Bancshares Inc. has been merged into Cathay General Bancorp, and Asia Bank has been merged into Cathay Bank, a statement said.

The completion of the merger results in a combined financial institution with total assets of approximately $12.4 billion and deposits of approximately $9.8 billion, 57 branches operating in nine states, and a presence in three overseas locations, it said.

Under the terms of the merger, Cathay General Bancorp is issuing 2.58 million shares of its common stock and paying $57 million in cash for all of the issued and outstanding shares of Asia Bancshares stock, valuing the merger at approximately $139.9 million based on Cathay General Bancorp’s closing price on July 31, according to the statement.

—City News Service

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