Business & Real Estate

Merger of Northern California banking companies nears finish line

The holding companies of Tri Counties Bank and North Valley Bank, both of which have branches throughout Northern California, said they have received federal and state regulatory approvals that will nearly complete the merger they jointly announced in January.

TriCo Bancshares is based in Chico, and North Valley Bancorp is based in Redding.

Under terms of the agreement, North Valley Bank branches will carry the Tri Counties name, and their shareholders will receive proportional shares of TriCo stock. Shareholders of both banks approved the merger plan in August.

Officials said the merger is expected to close on Oct. 3, after final regulatory hurdle approval from the Federal Reserve Bank of San Francisco and other customary closing conditions.

Some consolidation will result from the merger, with the companies’ combined 81 bank branches narrowing to 73, with combined assets of about $3.5 billion. One of the branches designated for closure is a Tri Counties branch in a Bel Air supermarket in Woodland.