Shareholders OK Bank Acquisition

Shareholders of First State Bank of the Oaks, based in Thousand Oaks, have approved the previously announced acquisition of the five-branch bank by First Interstate Bank of California.

Fred N. Raio, president and chief executive of First State, said that pending regulatory approval, the merger should be completed during the first quarter of 1994.

With $144 million in assets, First State is the third largest independent bank in Ventura County. The firm reported a net profit of $737,000 in the first nine months of this year.

First Interstate, headquartered in Los Angeles, is the state’s third largest bank, with 327 branches. The acquisition will increase its market share in Ventura county by 50%, Raio said.

Raio said he expects First Interstate to announce in December whether it will close any of First State’s branches. “In some cases, it’s possible that they’ll close one of their own branches and consolidate it into one of ours,” he said.

First Interstate will pay $23 million in the deal. Raio said he did not know whether any of First State’s 100 employees will be laid off. Raio added that he plans to leave the bank.