Heritage Commerce Corp (HTBK) completed an all‑stock merger with CVB Financial Corp. on April 17, 2026, and the combined entity, Citizens Business Bank, was subsequently removed from three S&P indices on April 19, 2026. The removal follows the standard practice of excluding companies that have been acquired or merged, as they no longer trade as independent securities.
The transaction valued HTBK at approximately $811 million, with an exchange ratio of $13.00 per HTBK share. The merger brings together two California‑focused banks to create a larger regional institution with more than $20 billion in assets, positioning the new entity to pursue growth opportunities across the state’s business banking market.
Prior to the merger, HTBK reported full‑year 2025 revenue of $197.5 million and net income of $47.8 million. As of April 9, 2026, its market capitalization stood at $826.64 million, underscoring the scale of the combined business and the financial strength that attracted CVB Financial Corp. to the deal.
The three indices from which HTBK was removed—the S&P Regional Banks Select Industry Index, the S&P Total Market Index (TMI), and the S&P Global BMI—apply inclusion criteria that require a company to be an independent, publicly traded entity with sufficient liquidity and market capitalization. The merger eliminated HTBK’s independent status, triggering automatic exclusion from all three benchmarks.
The index removals will affect passive investors who track these benchmarks, but the merger’s strategic rationale—creating a larger, more diversified California bank—provides a broader platform for growth. The combined entity’s expanded asset base and customer reach are expected to enhance its competitive positioning in the regional banking sector.
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