Rabobank, the financial services leader specializing in community banking and agricultural finance, today announced that it has completed the $857 million acquisition of Mid-State Bancshares, the holding company for Mid-State Bank & Trust.
The acquisition merges Mid-State Bank & Trust with Rabobank, N.A., the California community bank, creating a $8.1 billion bank with approximately 1,700 employees, 81 branches and 13 financial service centers spanning nearly 700 miles of California. This ranges from the Imperial Valley up through Coachella and the Central Valley, along the Central Coast, to the Sacramento metropolitan area. The transaction is a further step in Rabobank's strategy to expand its banking platform in California and key agricultural communities across the U.S., and gives Rabobank an extensive presence in another important region of California, following its 2006 acquisition of Salinas-based Community Bank of Central California.
All of Mid-State's 41 retail branches and 7 commercial loan offices will remain open for business, staffed by familiar and trusted local employees. The Mid-State franchise will be integrated into the Rabobank organization immediately but will continue to operate under the Mid-State Bank & Trust name until the Fall, when it will be renamed "Rabobank."
Mid-State Bank & Trust Chief Executive Officer James W. Lokey will become President of Rabobank, N.A. alongside current Rabobank, N.A. President Rick Arredondo, both of whom will serve as co-Presidents under the leadership of Ronald Blok, Chief Executive Officer of Rabobank, N.A. Mr. Lokey and Mid-State Bancshares Chairman Carrol Pruett, who helped found Mid-State Bank in 1961, will join the board of directors of Rabobank, N.A.
"As a community bank, we understand the importance of having local bankers make local decisions that benefit local customers – and we're pleased that Mid-State's bankers will continue to serve Central Coast customers in the same way, from the same locations, as they always have. We're pleased to bring to the local market competitive pricing and higher lending limits that a worldwide banking leader like Rabobank can provide, while leveraging the resources of Rabobank to continue and extend Mid-State's 45-year legacy of community support and involvement, says Rabobank, N.A. Chief Executive Officer Ronald Blok"
"I am very pleased that Mid-State customers and employees have found such a good home in Rabobank, and equally sure that the Mid-State/Rabobank partnership will be beneficial for the Central Coast community," says Carrol Pruett, Chairman of the Board of Mid-State Bancshares. "Rabobank shares the Mid-State commitment to volunteering and supporting local organizations, so I am confident that the combined bank will not only be a stronger financial partner to our customers, it will also continue to be Partners in Your Community."
"We are delighted to welcome Mid-State customers and employees to the Rabobank family," says Cor Broekhuyse, Chairman of the Board of Rabobank, N.A. and General Manager of Rabobank International in the Americas.
From its century-old roots as a finance cooperative founded by Dutch farmers, Rabobank has grown into one of the 25 largest banks worldwide with approximately U. S. $730 billion in assets and operations in over 35 countries. Rabobank is one of the few private banks in the world with the highest possible credit rating from both Standard & Poor's and Moody's Investor Service (Aaa), and is ranked as the world's third safest bank by Global Finance magazine. Visit www.RabobankAmerica.com.