SOURCE: Eastern International Bank

March 04, 2016 13:26 ET

Eastern International Bank Agrees to Acquisition by Investor Sai Yung Chung

LOS ANGELES, CA--(Marketwired - March 04, 2016) - Eastern International Bank (Eastern) announced today that it has entered into a merger agreement with Mr. Sai Yung Chung and his wholly-owned company, EIB Capital Corp. It is proposed that Eastern will merge with EIB Capital Corp in an all-cash transaction valued at approximately $31.9 million.

Under the terms of the transaction, shareholders of Eastern will be entitled to receive approximately $60.23, subject to downward adjustment based on the performance of Eastern, in exchange for each share of Eastern common stock. The merger is subject to the approval of Eastern's regulators and shareholders. After the merger, Eastern will be wholly-owned by Mr. Chung.

Mr. Chung has world-wide operations including those in Southern California and expects to acquire full ownership of Eastern. Eastern and Mr. Chung expect the transaction to be completed in the fall of 2016, subject to receipt of all required approvals.

Ever since its establishment in 1985, Eastern has worked to serve as a financial connection among the communities in the greater Los Angeles area, promoting California's activities with the Pacific Rim markets and providing services to assist the growth of local community businesses and their principals.

At December 31, 2015, Eastern's consolidated assets were approximately $119,470,000. Its capital was $17,990,000 with two retail locations. As of December 31, 2015, it had $78,378,000 in loans.

This Press Release contains statements relating to future results of Eastern International Bank that are considered "forward-looking statements" as defined in the Private Securities Legislation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including, but not limited to changes in political and economic conditions, interest rate fluctuations, personal and corporate customers' bankruptcies, and inflation. Forward looking statements also include statements regarding Eastern's beliefs and expectations concerning the likelihood that the merger will in fact occur in a timely manner. They are based on numerous assumptions and are subject to risks and uncertainties relating to the proposed merger, including obtaining all requisite regulatory approvals and obtaining the timely approval of Eastern's shareholders, the absence of events having a material adverse effect on Eastern, satisfaction of all other conditions to the merger, and timely closing of the merger by both parties.

Contact Information

  • Contacts:
    Eastern International Bank
    William Lau
    (213) 687-7228