Capital raise at Pacific Capital, other banks tops $700M
Tri-county banks have brought more than $700 million into the region in recent months, with some looking to expand and others simply hoping to shore up their capital.
“It means we have more financial institutions with the wherewithal to lend,” said California Lutheran University economist Bill Watkins.
“It gives businesses more borrowing opportunities and provides a bit more of a competitive environment among lenders,” he said.
Of the region-wide total, $500 million comes from Texas billionaire Gerald Ford, who on April 29 signed a deal with Santa Barbara-based Pacific Capital Bancorp to purchase 91 percent of the banking company.