First PacTrust Bancorp, the holding company for PacTrust Bank and Beach Business Bank, and the Private Bank of California, are entering into a definitive agreement pursuant to which the Private Bank of California will merge into Beach Business Bank (view press release). Following the merger, Beach Business Bank will be renamed The Private Bank of California. The transaction is initially valued at approximately USD50 million, or approximately USD13.00 per diluted share. This represents a 27% premium to the most recent closing stock price for The Private Bank of California. As part of the transaction consideration, shareholders of The Private Bank of California will receive, in aggregate, 2,083,333 shares of First PacTrust common stock having a value of approximately USD25 million - at USD12.00 per share. The transaction is expected to close during the second quarter of 2013.