SOURCE: CommerceWest Bank

August 29, 2005 15:28 ET

CommerceWest Bank Announces Closing of Stock Offering

IRVINE, CA -- (MARKET WIRE) -- August 29, 2005 -- CommerceWest Bank (OTC BB: CWBK) announced that the Bank has completed the sale of 385,000 shares at a price of $13.00 per share in its fully underwritten public offering of common stock with The Seidler Companies Incorporated.

The net proceeds of approximately $4.8 million will be used for general corporate purposes and to support CommerceWest Bank's growth strategies, such as increasing the level of the Bank's working capital, improve profitability and to enhance the Bank's capital, liquidity and competitive posture. It will also allow the Bank to increase its level of assets and deposits in its market area and increase the loan amounts available to its client base by increasing lending limits to any one borrower. The Bank's total shareholders' equity is now about $23.5 million with Tier 1 capital ratio, total risk-based capital ratio and leverage ratio at 20%, 21% and 18%, respectively.

The Seidler Companies Incorporated acted as the lead underwriter in the offering and has an option to purchase up to an additional 15% or 57,750 shares.

Mr. Ivo Tjan, Chairman and CEO, stated, "The public offering was a success and we will now use the proceeds to continue our long term strategic growth of the organization. We would also like to acknowledge the Seidler Company for their hard work and dedication on the stock offering."

About CommerceWest Bank:

CommerceWest Bank is headquartered at 2111 Business Center Drive in Irvine, CA, with Regional Business Centers in Orange County at 4685 MacArthur Court in Newport Beach, CA and in the Inland Empire at 1611 Pomona Road in Corona, CA. We offer a wide range of business banking services, including cash management, concierge services, full-service Internet banking, lines of credit, term loans, nationwide commercial real estate lending and SBA Lending.

CommerceWest Bank will create a complete banking experience for each client, catering to businesses and their specific banking needs, while accommodating our clients and providing them high-quality, low stress, and personally tailored banking and financial services. Please visit www.cwbk.com to learn more about the bank.

Forward-looking Statements

Statements concerning future performance, developments or events, expectations for growth and income forecasts, and any other guidance on future periods, constitute forward-looking statements that are subject to a number of risks and uncertainties. Actual results may differ materially from stated expectations. Specific factors include, but are not limited to, loan production, balance sheet management, expanded net interest margin, the ability to control costs and expenses, interest rate changes and financial policies of the United States government, and general economic conditions. The Company disclaims any obligation to update any such factors or to publicly announce the results of any revisions to any forward-looking statements contained in this release to reflect future events or developments.

Contact Information

  • Bank Contact:
    CommerceWest Bank, N.A.
    Mr. Ivo A. Tjan, CEO
    Mr. Rene V. Garcia, CFO
    Telephone: (949) 251-6959
    Facsimile: (949) 251-6957
    E-mail: Email Contact
    Website: www.cwbk.com
    "Bank on the Difference"