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California banks to combine in $234 million 'merger of equals'

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California banks to combine in 4 million 'merger of equals'


The deal involving Southern California Bancorp and California BanCorp, expected to close in the third quarter, would form a $4.6 billion-asset lender with a footprint spanning San Diego as well as Greater Los Angeles and the San Francisco Bay Area.

Southern California Bancorp in San Diego and Oakland-based California BanCorp said they would merge in a $233.6 million, all-stock deal that would create a combined company with $4.6 billion of assets spanning the major metropolises of the country’s most populous state.

The $2.4 billion-asset Southern California Bancorp, the parent of Bank of Southern California, and the $2 billion-asset California BanCorp, the holding company for California Bank of Commerce, jointly announced the deal on Tuesday and billed it as a “merger of equals.”

However, the transaction, slated to close in the third quarter, would give Southern California Bancorp shareholders 57.1% ownership of the outstanding shares of the combined company. California BanCorp investors would own the rest. The deal consideration was based on Southern California Bancorp’s Jan. 29 closing stock price.

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The merged bank would be based in San Diego and also cover Greater Los Angeles and the San Francisco Bay Area.

It marked the second large bank deal to date in the West in the new year. Seattle-based HomeStreet in mid-January said it planned to sell itself to FirstSun Capital Bancorp in Denver for $286 million.

The transactions come on the heels of a sluggish 2023 for M&A. There were only 98 deals announced last year, according to S&P Global Market Intelligence. That was down from 161 in the prior year. Buyers largely moved to the sidelines last year amid elevated regulatory scrutiny in the wake of regional bank failures and recession fears induced by a surge in interest rates. 

Jon Winick, CEO of bank consultancy Clark Street Capital, said the M&A headwinds “continue to blow” early in 2024. But he also said the economy has proven resilient and in growth mode, and this could give more bank executives confidence to jump back into the deal fray as community lenders need to bulk up to compete with larger peers.

The California banks said Tuesday their merger would unite two institutions that focus on middle market lending with complementary footprints, creating scale needed to further invest in technology and better manage risk, increase efficiency and provide customers with more products and services.

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“Our two companies share the same vision and values with a customer-centric focus on providing outstanding service to mid-market businesses. We believe this combination, resulting in increased size and scale, will drive improved profitability and increase shareholder value,” David Rainer, chairman and CEO of Southern California Bancorp, said in a press release announcing the deal.

“It also offers customers increased product offerings and lending limits, as well as access to branches in both Northern and Southern California. The merger will also provide employees of both companies with increased career opportunities,” he added.

Rainer would become executive chairman of the combined parent company and bank as well as the boards of both.

Steven Shelton, CEO of California BanCorp, would assume that title of the merged company and bank. He would also be a director.

“The expanded scale and capabilities we will have as a result of this merger will enhance our ability to continue adding attractive full banking relationships with commercial clients that provide operating deposit accounts and high quality lending opportunities,” Shelton said in the release. The deal also would create opportunities to “move up market and work with larger businesses.”

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The combined company’s board would consist of six directors from both banks. A lead independent director would be appointed after closing.

Additionally, Richard Hernandez, president of Southern California Bancorp, would retain that title post-merger.

Thomas Sa, who is president, chief financial officer and chief operating officer of California BanCorp, will serve as COO of the combined company and bank.

Thomas Dolan, CFO and COO of Southern California Bancorp, will serve as CFO of the combined company and chief strategy officer of the bank.

The companies said they would evaluate rebranding with new names and logos at the close of the transaction. The combined company’s common stock would continue to trade on the Nasdaq Capital Market.

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The merged company’s Southern California footprint would include Bank of Southern California’s 13 branches that serve Los Angeles, Orange, San Diego and Ventura counties, as well as the Inland Empire of California. Its Northern California territory would include the California Bank of Commerce branch in Contra Costa County and its four loan production offices serving Alameda, Contra Costa, Sacramento and Santa Clara counties.

It would have $2.6 billion of loans and $3.8 billion of deposits.

The companies estimated the deal would create cost savings equal to about 15% of their combined noninterest expense base. They expect one-time, pre-tax merger expenses of $19.5 million.

They also projected 2025 earnings per share accretion of 48%. They expect to earn back tangible book value dilution of 18% in less than three years.



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California Islamic calligraphy artist preserves ancient tradition during Arab American Heritage Month

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California Islamic calligraphy artist preserves ancient tradition during Arab American Heritage Month


As Arab American Heritage Month is celebrated, one Northern California artist is keeping the centuries-old tradition of Islamic calligraphy alive, one carefully measured stroke at a time.

Sehar Shahzad is a student calligrapher. Before starting any project, Shahzad said “one of the first things that calligraphers learn is how to cut their pens.” 

Her tools must be in pristine condition.

“Your instruments are just as important as anything else in this art,” she said.

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Shahzad said that as a young girl growing up in Toronto, she took up Islamic calligraphy while reflecting on her religion.

“It’s not like I’d never seen it before, but it was my first time kind of trying it,” she said. “And there’s no other way to say it except that I just fell in love with it.”

Now married with three children, Islamic calligraphy is very much part of her life.

“I remember thinking that this isn’t something that I just want to learn for fun,” she said. “I really want to be able to master it.”

Shahzad said that every angle and curve follows strict geometric rules and is measured with dots.

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“For example, this letter here was just a little bit too long, so we use these nuqtas to help us guide and understand how long that letter should be,” she said.

Like the Arabic language, Islamic calligraphy is read from right to left. Its bold simplicity requires precision and a deep understanding of proportion.

“When you’re creating a composition, it’s not only about the letter itself,” Shahzad said. “It’s about composition as a whole and making sure that everything balances together.”

Even though she’s still mastering her form, Shahzad’s work is featured in the prayer room of a Muslim cemetery in Napa and in the domes of mosques in San Jose, Hayward, and San Francisco.

Still, she considers her work on paper the most special.

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“A form of meditation, a form of worship, requires focus, requires discipline, really brings me to a different space,” Shahzad said. “And I think that’s what I love most.”

Proving that in this fast-paced world, this millennia-long tradition is far from disappearing.

Shahzad’s work will be featured at the upcoming Light Upon Light art exhibit at the Tarbiya Institute in Roseville from April 24-26.



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California sees lowest number of firearm-related deaths since 1968, new data shows

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California sees lowest number of firearm-related deaths since 1968, new data shows


LOS ANGELES (KABC) — California Attorney General Rob Bonta on Tuesday highlighted what he called historic progress in the state’s fight against gun violence.

“California has achieved something historic with the lowest rates of firearm deaths, suicides and homicides on record,” he said during a press conference.

According to Bonta, in 2024, California saw the lowest numbers of firearm-related deaths since 1968. That also drove the state’s overall homicide rate to its lowest level on record in Centers for Disease Control and Prevention data, Bonta’s office said.

However, Bonta warned lawmakers that those gains could be at risk without continued investment.

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“This progress is fragile,” he said. “It was driven in part by significant investments that are now declining or disappearing, and without continued and increased investment, we risk losing it.”

Bonta urged policymakers to continue advancing gun violence prevention efforts and education initiatives.

To learn more, click here.

Copyright © 2026 KABC Television, LLC. All rights reserved.



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California lawmaker introduces bill to protect wildlife from euthanasia, create coexistence program

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California lawmaker introduces bill to protect wildlife from euthanasia, create coexistence program


A Southern California state senator has proposed a new law that would prevent euthanasia in the state’s wildlife just a month after a mother bear was put down for swiping at a woman in Monrovia, feet away from where her two cubs were located. 

The legislation, SB 1135, which was introduced by Sen. Catherine Blakespear (D-Encinitas), calls for the establishment of a state program that promotes the coexistence with wildlife and codifies a wolf-livestock coexistence and compensation program. The move comes two years after funding for a similar wildlife coexistence program expired. 

“We can and must responsibly support people and wild animals to exist in a California where we are all under growing pressures and cumulative threats like extreme heat, frequent drought and intense wildfires that animals respond to by moving in search of resources to survive,” Sen. Blakespear said in a statement. “That means investing in science-based, situation-specific, proactive strategies to minimize negative interactions and prevent escalation to conflicts that pose risks for people and animals. SB 1135 proposes a program to better protect people, wildlife and communities.”

Blondie, the mother bear that was euthanized in March after it swiped at a woman in Monrovia.

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Neighbor Photo


The proposed coexistence program, which would be allocated nearly $50 million through the state’s 2026-27 budget, would build on the previous version, which deployed trained regional human-wildlife conflict staff around the state. The absence was noted by CDFW leaders during a state Assembly meeting in January, according to Blakespear. 

“Over the last five years, wildlife incident reports logged by the California Department of Fish and Wildlife (CDFW) increased by 31 percent and calls, emails and field contacts rose by 58 percent,” Blakespear’s proposal says. 

She noted the recent headline across the state, including “Blondie,” the Monrovia mother bear who was captured and put down by wildlife officials in March after it swiped at a woman near the home it was living under with its two cubs

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The home in question belongs to Richard Franco. He, along with many other Monrovia residents, has documented his encounters with bears over the years, even setting up a system of trail cameras to track the bears’ movements. 

“Getting to know her, you could see what a devoted mother she was,” Franco said. “She was always building a nest.”

Read more: Orphaned bear cubs taken to San Diego for care after mom is euthanized for attacking people

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One of the two bear cubs captured by California Department of Fish and Wildlife officials in Monrovia on Sunday, March 15, 2026.

CBS LA

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Franco and many of his neighbors were angered upon learning that CDFW officials had euthanized Blondie after her capture, which they credited to the fact that she had swiped at the woman days earlier and another person in 2025.

“Forcing them out, and then euthanizing the mom was just traumatic for us,” said one Monrovia couple. “It was just tragic, and there was no need for it; it was completely unnecessary.”

Situations like this are what caught Blakespear’s attention, leading to her proposal last week. 

“It is really my desire to make sure that wild places stay wild, and not be having to resort to lethal measures like killing bears or killing wolves,” Blakespear said, while speaking with CBS LA. “We need to have a program that is up and going so we can be educating people.”

The program calls for focus on public education, maintaining a statewide incident reporting system and deploying devices like barriers, noise and light machines and other technology that would deter predators from places where they shouldn’t be. 

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SB 1135 passed on a 5-1 vote and will now be considered by the Senate Appropriations Committee. 



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