Pacific Western Bank Completes A Credit-Linked Notes Transaction
LOS ANGELES, Oct. 03, 2022 (GLOBE NEWSWIRE) — PacWest Bancorp (Nasdaq: PACW) (the “Company”) has announced that its subsidiary, Pacific Western Bank, completed a credit-linked notes transaction. The notes sold had an aggregate principal amount of $132.8 million with net proceeds of approximately $128.7 million. The notes are linked to the credit risk of an approximately $2.66 billion reference pool of previously purchased single-family residential mortgage loans. The notes were issued in five classes with a blended rate on the notes of SOFR plus 11%. The transaction will result in a reduction of risk-weighted assets, thereby improving regulatory capital ratios and would have increased the Common Equity Tier 1 (“CET1”) capital ratio by approximately 20 basis points at June 30, 2022. This transaction represents a step in the Company’s stated goal of increasing the CET1 capital ratio to 10% by the end of 2023.
Further details can be found in the Form 8-K filed on September 29, 2022, which can be accessed in the SEC Filings section of the Company’s website at www.pacwestbancorp.com.
ABOUT PACWEST BANCORP
PacWest Bancorp (“PacWest”) is a bank holding company with approximately $41 billion in assets headquartered in Los Angeles, California, with an executive office in Denver, Colorado, with one wholly-owned banking subsidiary, Pacific Western Bank (the “Bank”). The Bank is focused on relationship-based business banking to small, middle-market, and venture-backed businesses nationwide. The Bank offers a broad range of loan and lease and deposit products and services through 69 full-service branches located in California, one branch located in Durham, North Carolina, and one branch located in Denver, Colorado, and numerous loan production offices across the country. The Bank provides community banking products including lending and comprehensive deposit and treasury management services to small and medium-sized businesses conducted primarily through our California-based branch offices and Denver, Colorado branch office. The Bank offers national lending products including asset-based, equipment, and real estate loans and treasury management services to established middle-market businesses on a national basis. The Bank provides venture banking products including a comprehensive suite of financial services focused on entrepreneurial and venture-backed businesses and their venture capital and private equity investors, with offices located in key innovation hubs across the United States. The Bank also offers financing of business-purpose non-owner-occupied investor properties through Civic Financial Services, a wholly-owned subsidiary. The Bank also provides a specialized suite of services for the HOA industry. For more information about PacWest Bancorp or Pacific Western Bank, visit www.pacwest.com.
CONTACTS
| Bart R. Olson | William J. Black | |
| Executive Vice President | Executive Vice President | |
| and CFO | Strategy and Corporate Development | |
| 714.989.4149 | 919.597.7466 |
