West Coast Bancorp (WCBO, Financial) filed Annual Report for the period ended 2010-12-31.
West Coast Bancorp has a market cap of $337.6 million; its shares were traded at around $3.5 with a P/E ratio of 175 and P/S ratio of 2.4.
In October 2009, Bancorp completed a private capital raise (referred to in this report as, the “private capital raise”) in which it received net proceeds of $139.2 million in exchange for various securities that ultimately resulted in the issuance of: 71,442,450 shares of Common Stock, 121,328 shares of mandatorily convertible cumulative participating preferred stock, Series B (“Series B Preferred Stock”), and Class C Warrants exercisable for a total of 240,000 shares of Series B Preferred Stock at a price of $100.00 per share (the “Class C Warrants”), to investors in the private capital raise. Shares of Series B Preferred Stock automatically convert into 6,066,400 shares of Common Stock upon transfer of the Series B shares to third parties in a widely dispersed offering. Similarly, shares of Series B Preferred Stock issuable upon exercise of the Class C Warrants will automatically convert into 12,000,000 shares of Common Stock following exercise of the Class C Warrants and transfer of the Series B shares issuable there under to third parties in a widely dispersed offering.
Following the private capital raise, Bancorp conducted a rights offering of up to 5.0 million shares of Common Stock at a subscription price of $2.00 per share during the first quarter 2010. The rights offering was oversubscribed, after taking into account exercise of certain over subscription privileges. The net proceeds of the rights offering were $9.3 million, all of which was contributed to the Bank in first quarter 2010.
On June 24, 2010, Bancorp commenced a discretionary equity issuance program (the “Program”) through Sandler O Neill + Partners, L.P., as its sales agent. In connection with the Program, Bancorp sold an aggregate of 2.8 million shares of Common Stock at an average sales price of $2.80 per share. The aggregate gross sales proceeds were $7.9 million from which Bancorp contributed $6.0 million to the Bank in second quarter 2010. The Program was terminated on August 6, 2010.
As of December 31, 2010, Bancorp had total assets of $2.46 billion, with total net loans of $1.50 billion and total investment securities of $646.1 million. Bancorp s total deposits at December 31, 2010, were $1.94 billion and stockholders equity was $272.6 million. At December 31, 2009, Bancorp had total assets of $2.73 billion, total net loans of $1.69 billion and total investment securities of $562.3 million. Bancorp s total deposits at December 31, 2009, were $2.15 billion, with stockholders equity of $249.1 million. At December 31, 2010, tangible book value per share was $2.60 down from $6.98 at December 31, 2009, as a result of share issuances as part of capital raising activities over the last 15 months.
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West Coast Bancorp has a market cap of $337.6 million; its shares were traded at around $3.5 with a P/E ratio of 175 and P/S ratio of 2.4.
Highlight of Business Operations:
Bancorp experienced rapid balance sheet and loan growth during the period 2002-2007. With the onset of a significant slowdown in economic activity and unprecedented disruptions in the real estate and credit markets, this growth period ended in late 2007 and Bancorp experienced net losses of $6.3 million for 2008 and $91.2 million for 2009. The Bank s earliest and most significant losses arose out of its two-step residential construction lending program pursuant to which the Bank made residential construction loans to individuals (referred to in this report as the “two-step loan program”). The Bank experienced significant losses in other loan portfolios as well resulting from the economic slowdown. The prolonged recession and severe slump in housing and other real estate markets have hindered the ability of the Bank s borrowers to repay loans and the value of the property that serves as collateral for many of the Bank s loans.In October 2009, Bancorp completed a private capital raise (referred to in this report as, the “private capital raise”) in which it received net proceeds of $139.2 million in exchange for various securities that ultimately resulted in the issuance of: 71,442,450 shares of Common Stock, 121,328 shares of mandatorily convertible cumulative participating preferred stock, Series B (“Series B Preferred Stock”), and Class C Warrants exercisable for a total of 240,000 shares of Series B Preferred Stock at a price of $100.00 per share (the “Class C Warrants”), to investors in the private capital raise. Shares of Series B Preferred Stock automatically convert into 6,066,400 shares of Common Stock upon transfer of the Series B shares to third parties in a widely dispersed offering. Similarly, shares of Series B Preferred Stock issuable upon exercise of the Class C Warrants will automatically convert into 12,000,000 shares of Common Stock following exercise of the Class C Warrants and transfer of the Series B shares issuable there under to third parties in a widely dispersed offering.
Following the private capital raise, Bancorp conducted a rights offering of up to 5.0 million shares of Common Stock at a subscription price of $2.00 per share during the first quarter 2010. The rights offering was oversubscribed, after taking into account exercise of certain over subscription privileges. The net proceeds of the rights offering were $9.3 million, all of which was contributed to the Bank in first quarter 2010.
On June 24, 2010, Bancorp commenced a discretionary equity issuance program (the “Program”) through Sandler O Neill + Partners, L.P., as its sales agent. In connection with the Program, Bancorp sold an aggregate of 2.8 million shares of Common Stock at an average sales price of $2.80 per share. The aggregate gross sales proceeds were $7.9 million from which Bancorp contributed $6.0 million to the Bank in second quarter 2010. The Program was terminated on August 6, 2010.
As of December 31, 2010, Bancorp had total assets of $2.46 billion, with total net loans of $1.50 billion and total investment securities of $646.1 million. Bancorp s total deposits at December 31, 2010, were $1.94 billion and stockholders equity was $272.6 million. At December 31, 2009, Bancorp had total assets of $2.73 billion, total net loans of $1.69 billion and total investment securities of $562.3 million. Bancorp s total deposits at December 31, 2009, were $2.15 billion, with stockholders equity of $249.1 million. At December 31, 2010, tangible book value per share was $2.60 down from $6.98 at December 31, 2009, as a result of share issuances as part of capital raising activities over the last 15 months.
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