First Asian Bank has agreed to be acquired by Royal Business Bank of Los Angeles for undisclosed terms.
An announcement on Thursday said that Royal will have $336 million in assets with the acquisition of $35 million-asset First Asian.
"The acquisition of First Asian gives us the opportunity to further serve our existing clients and reach a new customer base," Royal Business Bank Chairman Louis Chang said in a statement.
Royal Business Bank CEO Alan Thian said the bank is large enough to provide the same products and services as the region's large banks but with more personalized service.
First Asian Chairman Robert List, a former Nevada governor, and Chief Executive Phil LaChapelle issued statements saying the merger will benefit customers and bank employees.
First Asian, which has two branches in Las Vegas, lost $742,000 in the fourth quarter, up from $601,000 in the same period a year earlier. Its nonperforming assets are 9.9 percent of total assets. It has 12.4 percent in risk-based capital, a measure of net worth.
First Asian opened for business in Las Vegas in June 2007.
In 2008, federal and state banking regulators chastised First Asian Bank for inept management in a letter that was obtained by the Review-Journal.
The banks expect the merger to close by summer.