As the pandemic continues to wreak havoc on the global economy, businesses in every sector are feeling the squeeze. But for PacWest, a recent investment from Atlas is providing a much-needed lifeline in these challenging times. With an injection of liquidity and renewed investor confidence, PacWest is poised to weather this storm and emerge stronger than ever. In this post, we’ll take a closer look at how Atlas’s investment is shaping up to be a game-changer for one of the most promising companies out there today.
PacWest Bancorp
PacWest Bancorp is a regional bank holding company headquartered in Los Angeles, California. As of June 30, 2020, PacWest Bancorp had approximately $33.0 billion in total assets and operated 341 branches in California, Oregon, Washington, and Nevada through its primary banking subsidiary, Pacific Western Bank.
In response to the challenging economic climate brought on by the COVID-19 pandemic,PacWest Bancorp has taken a number of actions to bolster its liquidity position. On March 27, 2020, the Company entered into a new $1.5 billion senior unsecured revolving credit facility with a syndicate of banks. In addition, PacWest Bancorp has temporarily suspended share repurchases and increased its allowance for loan losses.
These actions have positioned PacWest Bancorp well to weather the current economic conditions and emerge stronger when the economy recovers.
Atlas investment group
Atlas investment group is a global asset management firm with over $160 billion in assets under management. The company has a long history of successful investments in a variety of industries and asset classes.
In the current economic climate, many companies are struggling to maintain liquidity. This is especially true for small and mid-sized businesses. PacWest, a small business lender, is one such company. Atlas investment group has provided a boost to PacWest’s liquidity by investing $25 million in the company.
This investment will help PacWest to continue lending to small businesses during this difficult time. It is a vote of confidence in the company’s ability to weather the current economic conditions and emerge as a strong player in the small business lending market.
PacWest’s liquidity
As the COVID-19 pandemic continues to wreak havoc on the global economy, PacWest Bancorp (NASDAQ: PACW) has taken steps to bolster its liquidity position. The Los Angeles-based bank announced today that it has entered into a definitive agreement to sell $325 million of common stock to Atlas Capital Markets, LLC.
The move comes as PacWest seeks to shore up its balance sheet in the face of an uncertain economic outlook. “In light of the current economic environment and its potential impact on our customers and businesses, we believe it is prudent to further strengthen our already strong capital levels,” said chief executive officer Dominic Ng in a press release.
Atlas Capital Markets is a leading provider of capital markets solutions for middle market companies. The firm has agreed to purchase 10.6 million shares of PacWest common stock at a price of $30.75 per share. The transaction is expected to close on or about July 1, 2020, subject to customary closing conditions.
With this infusion of capital, PacWest will have additional resources to support its customers and businesses as they navigate through these challenging times. The bank remains well-positioned to weather the current storm and emerge even stronger on the other side.
The challenging economic climate
The COVID-19 pandemic has wreaked havoc on the global economy, and PacWest Bancorp is feeling the effects. In response, the company has secured a $300 million investment from Atlas Capital Markets.
This infusion of cash will help PacWest weather the storm and continue to serve its customers during these difficult times. It’s a testament to the strength of the bank’s franchise that it was able to secure this funding amid such challenging conditions.
Conclusion
In conclusion, Atlas’s investment provides an important lifeline to PacWest during this challenging economic climate. The strategic partnership will leverage the strengths of both companies and should result in significant gains for both parties. With its increased liquidity, PacWest will be well-positioned to take advantage of opportunities as they arise in the market, creating a win-win situation for everyone involved.
