October 13, 2021 3:25 a.m. 

In the KQEN Business Spotlight:

Umpqua Bank’s parent company, Umpqua Holdings Corporation, has announced that its has entered into a definitive agreement with Columbia Banking System Incorporated, under which the companies will join together in an all-stock combination.

Under the terms of the agreement, which was unanimously approved by the boards of directors of both companies, Umpqua shareholders will receive .5958 of a share of Columbia stock for each Umpqua share they own. Upon completion of the transaction, Umpqua shareholders will own approximately 62 percent and Columbia shareholders will own approximately 38 percent of the combined company. A release said once that transaction is completed, the combined organization will be a leading west coast franchise with more than $50 billion in assets.

Cort O’Haver, President and CEO of Umpqua said, “This is an exciting combination that brings together two well-respected organizations and talented teams, accelerating our shared strategic objectives to create the leading regional bank headquartered in the West”. O’Haver said together, with increased scale, they’ll have the ability to provide expanding opportunities for associates and serve customers through an even more comprehensive suite of solutions. He said, “We’ll also be able to strengthen our ongoing investment in our communities and deliver tremendous value for shareholders”. O’Haver said he looks forward to partnering with the Columbia team to expand their market share as a combined organization.

The release said the combined company will be the west coasts leading regional bank with $43 in billion in deposits, including $16 billion of deposits in Oregon.

The combined holding company will operate under the Columbia Banking System Incorporated name, and will be headquartered in Tacoma, Washington. The combined bank will operate under the Umpqua Bank name, and will be headquartered in the greater Portland metropolitan area. The transaction is expected to close in mid-2022.