California Bancorp Stock Price, News & Analysis

California BanCorp (NASDAQ: CALB) was the parent company of California Bank of Commerce, a commercial banking institution focused on serving closely held businesses and professionals in Northern California. According to company disclosures, California BanCorp’s common stock traded on the Nasdaq Global Select Market under the symbol CALB and the organization offered a broad range of commercial banking services to its target client base in the region.

On July 31, 2024, Southern California Bancorp, the holding company for Bank of Southern California, N.A., and California BanCorp announced the successful closing of their previously announced merger of equals. At that effective time, California BanCorp merged with and into Southern California Bancorp, and California Bank of Commerce merged with and into Bank of Southern California, N.A. The combined holding company assumed the California BanCorp name, and the combined bank assumed the California Bank of Commerce, N.A. name. Following the merger, the combined holding company trades on the Nasdaq Capital Market under the symbol BCAL.

Before the merger, California BanCorp described itself as offering commercial banking services to closely held businesses and professionals located throughout Northern California. Its business model, as reflected in its public communications, centered on relationship-based commercial banking, with noninterest-bearing deposits from commercial business operating accounts representing a significant portion of total deposits. The company highlighted its focus on conservative underwriting, prudent balance sheet management, and maintaining capital ratios above regulatory standards for well-capitalized institutions.

Business focus and operations (historical)

California BanCorp’s subsidiary, California Bank of Commerce, reported activity across commercial loans and various categories of real estate-related loans. Company press releases describe a loan portfolio that included commercial loans, real estate-related loans, construction and land loans, and other loan categories. The bank emphasized a conservative approach to new loan production, particularly during periods of economic uncertainty, and referenced efforts to de-risk its balance sheet when credit conditions warranted.

The company’s revenue, as described in its financial results releases, was primarily derived from net interest income and non-interest income such as service charges and loan-related fees. Management commentary repeatedly referenced net interest margin, deposit mix, and asset quality metrics such as non-performing assets and allowance for credit losses as key elements of its operating profile.

California BanCorp’s communications also referenced a relationship-based approach to commercial banking. Noninterest-bearing deposits, primarily commercial business operating accounts, were consistently cited as a meaningful share of total deposits. The company discussed adding new commercial relationships that contributed noninterest-bearing deposits, and it described its client base as closely held businesses and professionals in Northern California.

Merger of equals with Southern California Bancorp

On January 30, 2024, Southern California Bancorp and California BanCorp jointly announced the execution of a definitive merger agreement to combine in an all-stock merger described as a merger of equals. Subsequent releases on May 13, 2024 and July 18, 2024 reported receipt of required regulatory approvals and shareholder approvals, respectively. The July 31, 2024 announcement confirmed closing of the transaction.

Under the terms disclosed, each share of California BanCorp common stock was converted into the right to receive 1.59 shares of Southern California Bancorp common stock at the effective time of the merger on July 31, 2024. The resulting company retained the banking offices of both banks, with California Bank of Commerce’s one full-service branch and four loan production offices in the Bay Area joining Bank of Southern California, N.A.’s 13 full-service branches in the Southern California region.

After closing, the combined holding company adopted the California BanCorp name and the combined bank adopted the California Bank of Commerce, N.A. name. The combined holding company’s common stock trades on the Nasdaq Capital Market under the symbol BCAL, rather than CALB. Governance disclosures noted that the combined board of directors consists of 12 directors, with six selected from each of the merging companies.

Financial profile as a standalone company (context)

Prior to the merger, California BanCorp regularly reported quarterly and annual financial results. In its public releases, the company highlighted metrics such as net income, net interest income, non-interest income, efficiency ratio, total assets, total gross loans, total deposits, and capital ratios. It also provided detail on asset quality, including non-performing assets, net charge-offs, and allowance for credit losses on loans and unfunded commitments.

These disclosures emphasized that California BanCorp maintained capital ratios above the regulatory standards for well-capitalized institutions and that it managed its balance sheet conservatively, including periods when it reduced loan balances or paid down borrowings. The company also reported on the composition of its deposit base, noting changes in demand deposits, money market and savings accounts, and time deposits over time.

Geographic and market focus

California BanCorp stated that it served closely held businesses and professionals located throughout Northern California. In the merger-related communications, the combined franchise was described as a statewide California commercial banking platform, with California Bank of Commerce’s Bay Area presence complementing Bank of Southern California’s branch network in Southern California counties.

Prior to the merger, California BanCorp’s Northern California footprint included one full-service branch and four loan production offices associated with California Bank of Commerce. These locations were described as serving areas in the Bay Area and other Northern California markets.

Public company status and ticker symbol

California BanCorp’s common stock traded on the Nasdaq Global Select Market under the ticker symbol CALB while it operated as an independent holding company. Following completion of the merger of equals on July 31, 2024, the combined holding company’s stock trades on the Nasdaq Capital Market under the symbol BCAL, as disclosed in the closing announcement. As a result, CALB functions as a historical ticker symbol associated with California BanCorp prior to its merger into Southern California Bancorp.

Historical role in the commercial banking sector

Within the commercial banking industry, California BanCorp positioned itself as a bank holding company focused on commercial clients in Northern California. Its public statements emphasized relationship-based banking, conservative risk management, and attention to capital and liquidity. The company’s financial disclosures and merger communications provide insight into how a regional commercial bank holding company managed growth, asset quality, and capital while ultimately participating in a merger of equals to form a larger statewide franchise.

FAQs about California BanCorp (CALB)

• What was California BanCorp (CALB)?
  California BanCorp was a bank holding company whose subsidiary was California Bank of Commerce. It offered commercial banking services to closely held businesses and professionals located throughout Northern California, and its common stock traded on the Nasdaq Global Select Market under the symbol CALB.
• What happened to the CALB stock?
  According to a July 31, 2024 announcement, California BanCorp merged with and into Southern California Bancorp in a merger of equals. The combined holding company assumed the California BanCorp name and trades on the Nasdaq Capital Market under the symbol BCAL, so CALB is a historical ticker associated with the pre-merger entity.
• How was California BanCorp related to California Bank of Commerce?
  California BanCorp was the parent company for California Bank of Commerce. Company disclosures describe California Bank of Commerce as its banking subsidiary, offering commercial banking services to closely held businesses and professionals in Northern California.
• What services did California BanCorp’s banking subsidiary provide?
  Public descriptions state that California Bank of Commerce offered a broad range of commercial banking services to closely held businesses and professionals. The company also reported noninterest-bearing deposits from commercial business operating accounts as a significant component of its funding base.
• Who did California BanCorp primarily serve?
  California BanCorp stated that it served closely held businesses and professionals located throughout Northern California. Its communications emphasized commercial relationships and operating deposit accounts from business clients.
• What was the nature of the merger with Southern California Bancorp?
  On January 30, 2024, Southern California Bancorp and California BanCorp announced a definitive merger agreement for an all-stock merger of equals. A July 31, 2024 release reported that the merger had closed, with California BanCorp merging into Southern California Bancorp and their banking subsidiaries combining.
• What exchange does the combined company trade on and under what symbol?
  The July 31, 2024 closing announcement states that the combined holding company trades on the Nasdaq Capital Market under the symbol BCAL.
• Did California BanCorp focus on any particular type of deposits?
  In its financial results, California BanCorp reported that noninterest-bearing deposits, primarily commercial business operating accounts, represented a substantial percentage of total deposits, indicating an emphasis on commercial operating accounts within its funding mix.
• How did California BanCorp describe its risk and balance sheet management?
  Management commentary in earnings releases referred to a conservative approach to new loan production, prudent balance sheet management, and actions such as de-risking the loan portfolio and maintaining capital ratios above well-capitalized regulatory thresholds.
• Is California BanCorp still an independent company?
  No. Based on the July 31, 2024 announcement, California BanCorp has merged with and into Southern California Bancorp. The combined entity uses the California BanCorp name at the holding company level and California Bank of Commerce, N.A. at the bank level, with trading under the symbol BCAL.