United Security Bancshares (UBFO) announced that it has secured the final regulatory approvals needed to complete its merger with Community West Bancshares (CWBC). The Federal Deposit Insurance Corporation, the California Department of Financial Protection and Innovation, and the Federal Reserve Bank of San Francisco have all granted the necessary approvals or waivers, clearing the way for the transaction to close.
The all‑stock deal, valued at approximately $191.9 million, will give United Security shareholders 0.4520 shares of Community West common stock for each share they own, pricing United Security at 143.7% of its tangible book value. The combined entity will have roughly $5 billion in total assets, operate in 13 Central California counties, and serve 31 communities, positioning it as the largest community bank in the region.
The parties expect the merger to close in the second quarter of 2026, subject to shareholder approval. A shareholder meeting is scheduled for March 30, 2026, and the integration of operational systems is targeted for the third quarter of 2026. Management anticipates a 45% reduction in United Security’s annual non‑interest expenses, translating to $20.8 million in merger‑related cost savings.
James J. Kim, CEO of Community West, said, "Receiving regulatory approval moves us one step closer to bringing our two organizations together. We are proud of our 46‑year history and pleased to welcome United Security Bank's team as we expand our ability to serve Central California." Dennis R. Woods, Chairman, President and CEO of United Security, added, "The milestone reflects the shared values, relationship‑based banking, and community commitment that have guided both of our organizations for decades."
The merger aligns with Community West’s long‑term growth strategy and its commitment to local decision‑making. By combining the two banks’ branch networks and customer bases, the new entity will benefit from economies of scale, a broader lending footprint, and enhanced capital resources for future growth initiatives. The deal is expected to be accretive to Community West’s earnings per share in 2027 and to strengthen the combined bank’s competitive position in the California market.
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