Torrey Pines Group and a “major” California...

Torrey Pines Group and a “major” California bank have broken off discussions about a possible acquisition of Torrey Pines Bank, executives of the institution said Thursday.

The announcement was made “because the rumor mill had started to operate and we wanted people to know that we’re definitely not on the market,” Torrey Pines Bank President Edward S. George said. He declined to identify the other bank. “A lot of other banks are trying to be sold, but we’re definitely not on the market.”

“We felt we had an obligation to our shareholders to listen to what appeared to be a serious offer,” Torrey Pines Group Chairman Nicholas L. Frazee said. “We concluded that it was in the best interests of our customers, our employees and our shareholders to remain independent.”

Torrey Pines Bank “will try to remain in our niche, which is to be a very good business banker in a very upscale (community),” George said. “We can’t compete with the (larger banks) in the consumer retail market, but we can remain successful and independent if we remain in our niche.”

Torrey Pines Group reported 1987 assets of $345 million. Net income rose 113% to $2.6 million.