July 3, 2013
Editor, Coleman Report
After acquiring SBA #1 micro lender, Borrego Springs Bank, Sterling Bank is adding Orange County’s Commerce National Bank to its portfolio.
The Biz Journal reports, “Sterling paid $6.5 million to acquire American Heritage Holdings, parent company of Borrego Springs. While the bank was relatively small, with less than 20 employees and $161 million in assets, it played an outsized role as one of the most active lenders in the western United States for programs backed by the U.S. Small Business Administration.
“The acquisition has helped to boost the bank’s SBA lending in Northern California, with more loans completed in the first half of the 2013 fiscal year than in the prior 12 months, according to an announcement and data from the SBA. Those loans are generally smaller, complementing the larger loans that are typically processed through the bank’s SBA hub in Santa Rosa.
“Borrego Springs is planned to ultimately operate under the Sterling name, with its SBA-specific systems integrated more closely into the existing information systems for the company, according to a Sterling spokeswoman.”