First California Financial Group Inc., the holding company of First California Bank, has announced that it intends to acquire the Electronic Banking Solutions division of Palm Desert National Bank. Terms of the deal were not disclosed. As part of the purchase, Westlake Village-based First California will acquire Palm Desert National Bank’s EBS product and service offering and related back office operations, as well as the customer base that currently produces approximately $3 million in annual revenues from EBS products and services. First California will also assume approximately $55 million of core deposits related to the EBS division at the close of the transaction. “This acquisition expands our product offering and enables First California to enter the prepaid debit card market,” said C. G. Kum, president and chief executive officer of First California Financial Group. “We believe the prepaid card business provides new revenue streams at attractive margins and complements our growth strategy.” To manage the new Electronic Payments Services division, First California will retain the services of James Tingey, executive vice president and division president. Currently, Tingey is EVP for the EBS division of Palm Desert National Bank where he is responsible for all electronic payment services, including prepaid card programs. First California expects this transaction to close by the end of the 2011 first quarter.
First California Makes Electronic Banking Acquisition