Heritage Commerce rises on $811 million buyout deal with CVB Financial

Community lender Heritage Commerce's HTBK.O shares rise 3.3% to $12.61 in extended trading

Regional lender CVB Financial CVBF.O will buy HTBK in an $811 million all-stock deal to expand in the Bay Area

"We like the deal at first blush. Financials appear reasonable and Bay Area expansion could provide a growth angle. The acquisition is likely not too surprising to folks as CVBF has been vocal throughout the year around acquisition interests and is a proven acquirer" - Stephens analyst Andrew Terrell

HTBK shareholders will receive 0.65 shares of CVBF for each share held, valuing Heritage Commerce at $13 apiece

Deal will create a combined California business bank with about $22 billion in assets and a strong presence in the state’s key economic centers

As of last close, HTBK stock up 30% YTD