Castle Creek Capital has announced a $30 million investment in FirstSun Capital Bancorp to support its merger with HomeStreet, signaling confidence in FirstSun's growth strategy and potential in the community banking sector.

Target Information

FirstSun Capital Bancorp ("FirstSun"), founded in 1892 and headquartered in Denver, Colorado, is a financial holding company that provides a wide array of services including deposit, lending, treasury management, and wealth management. The company operates through two wholly-owned subsidiaries, which are Sunflower Bank and Logia Portfolio Management, LLC. As of September 30, 2023, FirstSun reported total assets of $7.8 billion, net loans of $6.2 billion, total deposits of $6.3 billion, and stockholders' equity of $843.7 million.

FirstSun operates a branch network across six states in the western U.S., including Texas, Kansas, Colorado, New Mexico, Arizona, and Washington, and has mortgage banking capabilities extending to 43 states. The proposed investment will not only finance its acquisition of HomeStreet, Inc. but also bolster the company’s organic growth strategy in both new and existing markets.

Industry Overview in the United States

The U.S. community banking sector has experienced significant transformation over the past decade, marked by increasing competition, regulatory changes, and a shift in consumer banking preferences