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UMB to buy California bank for $506M

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UMB to buy California bank for $506M

Additional M&A isn’t off the table while the Missouri lender absorbs El Dorado Savings Bank, CEO Mariner Kemper said, but he’s not interested in a purchase that would involve giving up board seats.

Buying El Dorado would grow UMB’s overall branch network to 227 locations across 15 states. The federal savings bank, founded in 1958, serves the Sacramento and Lake Tahoe areas.

“This milestone is a significant leap forward for our retail footprint and overall presence in California and expands our UMB branch network into Nevada,” UMB CEO Mariner Kemper said in Tuesday’s release. “Since growing our California presence with the HTLF acquisition in 2025, the region’s vibrancy, complementary customer needs and overall business growth opportunities have made it incredibly compelling for our next phase of expansion.”

El Dorado CEO David O. Cook will serve as vice chair of UMB Bank California, according to the release.

“This transaction will greatly benefit our customers, communities and shareholders,” Cook said in the release. “We will be able to offer more products and services and do even more to support and uplift our communities. We look forward to continuing the great work we’ve been doing in an even more meaningful and impactful way.”

Under the terms of the 52% cash/48% stock transaction, El Dorado shareholders will receive 13.553 shares of UMB stock, plus an additional $1,958.88 in cash for each outstanding El Dorado share, UMB said.

The $506 million price tag represents an 8% deposit premium, according to an investor presentation . The transaction is expected to be “modestly accretive” to 2027 earnings, UMB CFO Ram Shankar said during the bank’s third-quarter earnings call Wednesday .


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