First Hawaiian to Buy TriCo Bancshares in All-Stock Deal

First Hawaiian (FHB) agreed to acquire TriCo Bancshares (TCBK) in an all-stock deal to create one of the largest banks headquartered in the western US, with combined assets of about $34 billion. Shareholders of TriCo will receive 2.095 of First Hawaiian shares for each share held, representing a consideration of $63.12 based on First Hawaiian's closing share price as of Friday, the companies said in a joint statement Monday. First Hawaiian is the parent company of First Hawaiian Bank, while TriCo Bancshares controls Tri Counties Bank. First Hawaiian's stock dropped 6.1% in Monday trade, while TriCo jumped 9.1%. The combined company will become the sixth-largest bank based in the Western US by assets and benefit from new markets. The deal is expected to boost the combined bank's earnings. "This partnership creates a broader platform for long-term growth," First Hawaiian Chief Executive Bob Harrison said in the statement. The transaction, which requires approval from both banks' shareholders and clearance from regulators is expected to complete by the end of the year. Following completion, First Hawaiian's investors are anticipated to own 65% of the combined company, while.