University Bancorp Receives All Regulatory Approvals for Acquisition of Greater Pacific Bancshares & its Subsidiary Bank of Whittier, N.A.
Rhea-AI Summary
University Bancorp (OTCQB: UNIB) received all regulatory approvals to increase its ownership of Greater Pacific Bancshares (GPB) from 8.93% to 100%, with closing scheduled for July 1, 2026. GPB will be merged into UNIB and Bank of Whittier will become a wholly owned subsidiary.
The total purchase price is $36,779,800. UNIB plans to retain all Bank of Whittier employees, pursue economies of scale, transfer residential servicing to Midwest Loan Services, and use approximately $60 million of Bank of Whittier cash for faith-based portfolio financings. UNIB anticipates the deal will be accretive to EPS over time.
AI-generated analysis. Not financial advice.
Positive
- Regulatory approvals obtained to raise GPB ownership from 8.93% to 100%
- Total GPB acquisition purchase price of $36,779,800 disclosed
- Bank of Whittier to become wholly owned UNIB subsidiary after merger
- Approximately $60 million of BOW cash available for faith-based financings
- UNIB anticipates transaction will be accretive to earnings per share over time
- Planned servicing transfer to Midwest Loan Services to gain economies of scale
Negative
- None.
News Market Reaction – UNIB
On the day this news was published, UNIB declined NaN%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Closing Scheduled for July 1, 2026
ANN ARBOR, MI / ACCESS Newswire / May 28, 2026 / University Bancorp, Inc. (OTCQB:UNIB or "UNIB") announced that it has received all regulatory approvals required to increase its ownership in Greater Pacific Bancshares ("GPB") from the current level of
The total purchase price for the purchase of
GPB, BOW and LARIBA received legal assistance in support of the transaction from Gary Steven Findley and Associates. Hillworth Bank Partners provided a fairness opinion to the board of directors of GPB.
UNIB received legal assistance in support of the transaction from Varnum LLP.
Rationale:
From a strategic perspective, the acquisition of GPB and BOW provides many opportunities including:
Expanded ability for UIF to provide faith-based financing in the United States;
Complementary products and services;
Economies of scale to facilitate growth and roll-out of additional products. Current products include:
Faith-based FDIC-insured time, savings and checking deposit accounts;
Faith-based home financing;
Faith-based commercial real estate financing;
Faith-based vehicle financing;
Faith-based FDIC-insured tax advantaged IRA deposit accounts.
Plans for BOW
Because human capital is critical to the success of the faith-based financial services industry in the U.S., and because of the expected increased growth rate of the combined enterprise, UNIB anticipates retaining all employees of BOW. Following the closing, Stephen Lange Ranzini, the President & CEO of UNIB and Julie Burzynski, the President of UIF, will join the board of BOW representing UNIB, in addition to the current directors of BOW. It is anticipated that Stephen Lange Ranzini will be become the Chairman and CEO of BOW in addition to the current executives of BOW, led by the current President of BOW, Alexandra Dang. Gerhard Naude, currently COO of University Bank, will become the CEO of University Bank, and Stephen Lange Ranzini will retain his current title at University Bank of President.
After the Closing UNIB anticipates increasing the profitability of BOW and UNIB anticipates that the transaction will be accretive to earnings per share over time. It is anticipated that the residential servicing performed by BOW will be transferred to Midwest Loan Services, a division of University Bank, which is a wholly-owned subsidiary of UNIB, achieving significant economies of scale. BOW currently has approximately
UNIB has no plans to consolidate Bank of Whittier, N.A. and University Bank.
About UNIB
Ann Arbor-based University Bancorp is a Federal Reserve regulated financial holding company that owns:
100% of University Bank, a bank based in Ann Arbor, Michigan;100% of Crescent Assurance, PCC, a captive insurance company licensed in Washington DC; and100% of Hyrex Servicing, a master mortgage servicing firm, based in Ann Arbor, Michigan.
University Bank together with its Michigan-based subsidiaries, holds and manages a total of over
University Lending Group, a retail residential mortgage originator based in Clinton Township, MI;
UIF, a faith-based banking firm based in Southfield, MI;
Midwest Loan Services, a residential mortgage subservicer based in Houghton, MI;
Community Banking, based in Ann Arbor, MI, which provides traditional community banking services and wealth management;
Ann Arbor Insurance Centre, an independent insurance agency based in Ann Arbor, MI.
Mortgage Warehouse Lending, a mortgage warehouse lender based in Southfield, MI.
In addition, University Bank owns
Shareholders and investors are encouraged to refer to the financial information including the investor presentations, audited financial statements, strategic plan and prior press releases, available on our investor relations web page at: http://www.university-bank.com/bancorp/.
A detailed income statement, balance sheet and other financial information for UNIB and University Bank as of 3/31/2026 is available here: https://www.university-bank.com/wp-content/uploads/2026/04/UNIB-University-Bank-Detailed-Financial-Supplemental-Information-March-2026.pdf.
University Bank's FDIC Quarterly Call Report, with substantial additional information including loan origination, loan investment composition, delinquency ratios and Tier 1 Capital ratios for 3/31/2026 is available here: https://cdr.ffiec.gov/public/ManageFacsimiles.aspx
CAUTIONARY STATEMENT: This press release contains certain forward-looking statements that involve risks and uncertainties. Forward-looking statements include, but are not limited to, statements concerning future growth in assets, future profitability, efficiencies and economies of scale from the merger, the sustainability of past results, future products, valuations, economic, market or industry conditions, and other expectations and/or goals. Such statements are subject to certain risks and uncertainties which could cause actual results to differ materially from those expressed or implied by such forward-looking statements, including, but not limited to, economic, competitive, governmental and technological factors affecting our operations, markets, products, services, interest rates and fees for services, or the operations of companies that we invest in. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. We undertake no obligation to update any information or forward-looking statement.
Contact: Stephen Lange Ranzini, President and CEO
Phone: 734-741-5858, Ext. 9226
Email: ranzini@university-bank.com
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SOURCE: University Bancorp, Inc.
View the original press release on ACCESS Newswire