First Foundation Inc., which has several top executives who work at its Irvine office, is being acquired by FirstSun Capital Bancorp, parent of Dallas-based Sunflower Bank, in an all-stock deal worth $785 million.
FirstSun stockholders will own 59.5% and First Foundation stockholders will own 40.5% of the combined company following the merger. The combined holding company and bank will operate under the FirstSun and Sunflower Bank names and brands following closing of the transaction, respectively.
“This merger strengthens our ability to deliver exceptional financial services and expands our reach across key markets,” First Foundation Chief Executive Tom Shafer said in a statement.
After the announcement, shares of First Foundation, which is based in Dallas, rose 4.7% to $5.81. They had closed the day at $5.55 and a $457 million market cap (NYSE: FFWM). Shares of FirstSun fell 1.9% to $39.45; the company has a $1.1 billion market cap.
For more information, see the Nov. 3 print issue of the Orange County Business Journal.
