Columbia Banking System Completes Acquisition of Pacific Premier Bancorp and Unifies Columbia Brand

Rhea-AI Summary

Columbia Banking System (NASDAQ: COLB) has completed its acquisition of Pacific Premier Bancorp (NASDAQ: PPBI), significantly expanding its presence in Southern California. The merger creates a substantial western U.S. financial institution with $70 billion in assets, $50 billion in loans, and $56 billion in deposits.

The combined entity will operate over 350 locations across eight western states. Former Pacific Premier CEO Steve Gardner and two directors have joined Columbia's Board. The transaction involved a 0.9150 share exchange ratio, with Pacific Premier stockholders now representing approximately 30% of Columbia's shareholders. Systems integration is expected to complete in Q1 2026.

Positive

• Significant expansion to $70 billion in assets, $50 billion in loans, and $56 billion in deposits
• Strategic acceleration of Southern California expansion by more than a decade
• Enhanced market presence across eight western states with over 350 locations
• Strengthened leadership team with addition of experienced Pacific Premier executives

Negative

• Integration risks with systems merger planned for Q1 2026
• Potential cultural integration challenges between two large banking organizations
• 30% dilution for existing Columbia shareholders

Insights

Banking Industry Analyst

Columbia's acquisition of Pacific Premier creates a $70B regional powerhouse, significantly accelerating Southern California expansion while unifying under one brand.

Columbia Banking System has completed its strategic acquisition of Pacific Premier Bancorp, creating a substantially larger regional banking institution with approximately $70 billion in assets, $50 billion in loans, and $56 billion in deposits. This transaction represents a significant expansion of Columbia's footprint, particularly in Southern California where the bank has accelerated its market penetration timeline by more than a decade.

The combined entity now operates over 350 locations across eight western states (Washington, Oregon, California, Arizona, Colorado, Nevada, Utah, and Idaho), positioning Columbia as a formidable regional banking competitor with enhanced scale and geographic diversification. The transaction structure provided Pacific Premier shareholders with 0.9150 shares of Columbia stock for each Pacific Premier share, giving former Pacific Premier stockholders approximately 30% ownership of the combined entity.

This acquisition comes alongside Columbia's brand unification strategy, as the company has now completed its transition from the Umpqua Bank name to Columbia Bank. This branding clarity eliminates potential customer confusion and streamlines marketing efficiency across its family of financial service brands.

The leadership integration appears well-structured, with Pacific Premier's former Chairman and CEO Steve Gardner joining Columbia's board as a non-executive director, along with two additional Pacific Premier directors. Columbia has also incorporated Pacific Premier's Chief Information Officer into its executive team, suggesting a thoughtful approach to talent retention. The company plans to complete systems integration in Q1 2026, indicating a measured pace for technical consolidation to minimize operational disruptions.

Acquisition accelerates Southern California expansion

Columbia Bank unveils new brand, introduces name change to customers

TACOMA, Wash., Sept. 2, 2025 /PRNewswire/ -- Columbia Banking System, Inc. ("Columbia") (Nasdaq: COLB), the parent company of Columbia Bank, and Pacific Premier Bancorp, Inc. ("Pacific Premier") (Nasdaq: PPBI), the parent company of Pacific Premier Bank, National Association ("Pacific Premier Bank"), jointly announced today the closing of Columbia's previously announced acquisition of Pacific Premier.

The addition of Pacific Premier advances Columbia's strategic expansion in Southern California by more than a decade and further solidifies its market leadership in Northern California, Washington, Oregon and Arizona, strengthening its position as a leading western U.S.-based financial institution.

"Today marks an exciting milestone for our company. Columbia's acquisition of Pacific Premier significantly accelerates our expansion in key western markets and unites two exceptional and complementary banks focused on delivering superior value to all our stakeholders," said Clint Stein, Columbia President & CEO. "We are thrilled to welcome Pacific Premier associates, customers and communities to our company. We remain laser-focused on executing a seamless and efficient integration under the unified Columbia family of brands, in support of long-term shareholder value."

At transaction close, Columbia's assets increased to approximately $70 billion with approximately $50 billion in loans and $56 billion in deposits. The combined organization will operate more than 350 locations across eight western states—Washington, Oregon, California, Arizona, Colorado, Nevada, Utah and Idaho—reinforcing Columbia's position as a regional banking leader with deep local roots and broad geographic reach. The company expects to integrate its systems and services in the first quarter of 2026.

Columbia Bank Name Change Complete
Effective September 1, 2025, Columbia Bank began serving customers under its unified name and brand, completing the transition announced earlier this year from the Umpqua Bank name. The change ensures brand clarity by simplifying Columbia's family of brands, which also includes Columbia Wealth Management, Columbia Trust Company, Columbia Private Bank and Columbia Wealth Advisors.

Three Former Pacific Premier Directors Join Columbia's Board of Directors
Former Pacific Premier Chairman, President and CEO Steve Gardner joined Columbia's Board of Directors as a non-executive director upon completion of the transaction, and former Pacific Premier directors, M. Christian Mitchell and Jaynie Miller Studenmund, joined Columbia's Board of Directors as independent directors. Additionally, Tom Rice has joined Columbia Bank's executive leadership team as Chief Information Officer, assuming the role he held with Pacific Premier Bank at transaction close.

Closing Details
At the effective time of the merger on August 31, 2025, each share of Pacific Premier common stock was converted into the right to receive 0.9150 of a share of Columbia common stock. Former Pacific Premier stockholders collectively represent approximately 30% of Columbia's shareholders post-closing. Shares of Pacific Premier will cease trading prior to the opening of the Nasdaq Stock Market on September 2, 2025.

About Columbia
Columbia Banking System, Inc. (Nasdaq: COLB) is headquartered in Tacoma, Washington and is the parent company of Columbia Bank, an award-winning western U.S. regional bank. Columbia Bank is the largest bank headquartered in the Northwest and one of the largest banks headquartered in the West with locations in Arizona, California, Colorado, Idaho, Nevada, Oregon, Utah, and Washington. Columbia Bank combines the resources, sophistication, and expertise of a national bank with a commitment to deliver superior, personalized service. The bank supports consumers and businesses through a full suite of services, including retail and commercial banking, Small Business Administration lending, institutional and corporate banking, and equipment leasing. Columbia Bank customers also have access to comprehensive investment and wealth management expertise as well as healthcare and private banking through Columbia Wealth Management. Learn more at www.columbiabankingsystem.com. 

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SOURCE Columbia Banking System, Inc.

FAQ

What is the size of Columbia Banking System after acquiring Pacific Premier Bancorp?

Following the acquisition, Columbia Banking System has $70 billion in assets, $50 billion in loans, and $56 billion in deposits.

What was the exchange ratio in Columbia's acquisition of Pacific Premier?

Pacific Premier shareholders received 0.9150 shares of Columbia common stock for each share of Pacific Premier stock they owned.

How many locations will Columbia Banking System operate after the Pacific Premier merger?

The combined organization will operate more than 350 locations across eight western states: Washington, Oregon, California, Arizona, Colorado, Nevada, Utah, and Idaho.

When will Columbia Banking System complete the systems integration with Pacific Premier?

Columbia expects to complete the systems and services integration with Pacific Premier in the first quarter of 2026.

What percentage of Columbia Banking System will former Pacific Premier shareholders own?

Former Pacific Premier stockholders will collectively represent approximately 30% of Columbia's shareholders post-closing.