LOS ANGELES–(COMMERCIAL THREAD) – RBB Bancorp (NASDAQ: RBB) and Bank of the Orient (“BOTO”) announced today that Royal Business Bank, the wholly owned subsidiary of RBB, has entered into an agreement to purchase the Honolulu, Hawaii branch (the “Branch”) of BOTO. The terms of the agreement provide that the Royal Business Bank will acquire all the premises and equipment of the branch, all deposits totaling approximately $ 77.8 million as of June 30, 2021, and certain performing loans totaling approximately $ 10 million. as of June 30, 2021, for a total consideration of $ 2.8 million. The transaction is subject to regulatory approval and is expected to be finalized by December 31, 2021.

“This transaction accelerates our goal of expanding our presence in vibrant Asian-American communities, ”said Yee Phong (Alan) Thian, President and CEO of Royal Business Bank. “We are excited to enter this new market and bring our relationship-based banking model to Hawaii. ”

“Royal Business Bank is committed to ensuring a smooth transition with minimal impact for all stakeholders, ”said Dr James Kao, President of RBB Bancorp. “We believe that our experience in integrating past acquisitions and our excellent relationship with regulators will allow us to seamlessly integrate this branch into the existing national RBB network.

Janney Montgomery Scott LLC is acting as financial advisor and Loren P. Hansen, APC is legal advisor to RBB Bancorp. Stephens Inc. is the financial advisor and Morrison & Foerster LLP is the legal advisor to the Bank of the Orient.

Company overview

RBB Bancorp is a community financial holding company headquartered in Los Angeles, California. As of March 31, 2021, the company had total assets of $ 3.7 billion. Its wholly-owned subsidiary, The Bank, is a full-service commercial bank, providing business banking services to Chinese-American communities in Los Angeles County, Orange County, and Ventura County, California; in Las Vegas, Nevada; in Brooklyn, Queens and Manhattan in New York; Edison, New Jersey, and two branches in the Chicago, Chinatown and Bridgeport neighborhoods. Banking services include remote deposit, online banking, mobile banking, commercial and investor real estate loans, business loans and lines of credit, commercial and industrial loans, SBA 7A and 504 loans, single family residential loans 1 to 4, auto loans, trade finance, a full line of deposit account products and wealth management services. The bank has nine branches in Los Angeles County; two branches in Ventura County; a branch in Irvine, California; a branch in Las Vegas, Nevada; six branches and a loan operations center in Brooklyn, Queens and Manhattan in New York; a branch in Edison, New Jersey; and two branches in Chicago, Illinois. The Company’s administrative and loan center is located at 1055 Wilshire Blvd., Los Angeles, CA 90017, and its financial and operational center is located at 7025 Orangethorpe Avenue, Buena Park, CA 90621. The website address of the Company Company is www.royalbusinessbankusa.com.

Safe harbor

This press release contains statements that are considered to be forward-looking statements within the meaning of and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements often include the words “believes” , “” Expects “,” anticipates “,” estimates “,” plans “,” intends “,” plans “,” targets “,” potentially “,” probably “,” plans “,” prospect “or similar expressions or future or conditional verbs such as “may”, “will”, “should”, “would” and “could” and the negative of these terms and similar words, although certain forward-looking statements may be expressed differently . Forward-looking statements also include, but are not limited to, statements regarding plans, objectives, expectations or consequences of announced transactions, known trends and statements regarding future performance, operations, products and services. of RBB and its subsidiaries.

These forward-looking statements are subject to certain risks and uncertainties which could cause actual results to differ materially from the historical experience of the Company and from current expectations or projections. These risks and uncertainties and other factors include, without limitation, adverse developments or conditions related to or arising from: (1) US and international business and economic conditions; (2) any additional provisions for loan losses and write-offs; (3) credit risks from lending activities and deterioration in asset or credit quality; (4) the extensive laws and regulations and supervision to which the RBB is subject, including any supervisory measures by banking supervisory authorities; (5) increased compliance costs and other risks associated with regulatory changes, including any amendments to the Dodd-Frank Act on Wall Street Reform and Consumer Protection; (6) compliance with the law on bank secrecy and other laws and regulations on money laundering; (7) potential impairment of goodwill; (8) liquidity risk; (9) fluctuations in interest rates; (10) the expected disruption of the London Interbank Offered Rate after 2021 and the uncertainty over potential alternative benchmarks, including the guaranteed overnight rate; (11) risks associated with acquisitions and the expansion of RBB’s business into new markets; (12) inflation and deflation; (13) real estate market conditions and the value of real estate guarantees; (14) environmental liabilities; (15) our ability to compete with larger competitors; (16) RBB’s ability to retain key personnel; (17) successful management of reputation risk; (18) extreme weather conditions, natural disasters, acts of war or terrorism, public health issues (including the novel coronavirus or COVID-19) or other unwanted external events could adversely affect RBB’s business; (19) general economic or business conditions in Asia and other regions where the Bank operates; (20) failures, interruptions or security breaches of RBB’s information systems; (21) RBB’s ability to adapt its systems to the increasing use of technology in the banking sector; (22) risk management processes and strategies; (23) adverse results in legal proceedings; (24) the impact of enforcement actions, if any; (25) certain provisions of the RBB charter and regulations which may affect the acquisition of RBB; (26) changes in tax laws and regulations; (27) the effect of changes in accounting policies and practices or accounting standards, as may be adopted from time to time by banking regulators, the United States Securities and Exchange Commission (“SEC” ), the Public Company Accounting Oversight Board, the Financial Accounting Standards Board or other accounting standard-setters, including the 2016-13 Accounting Standards Update (subject 326), “Measuring Credit Losses on Financial Instruments’, commonly referred to as the current expected credit loss model, which will change the way we estimate credit losses and may increase the required level of RBB’s credit loss allowance after its adoption December 31, 2022; (28) market disruption and volatility; (29) fluctuations in the RBB share price; (30) restrictions on dividends and other distributions by laws and regulations and by regulators of RBB and its capital structure; (31) issuance of preferred shares; (32) RBB’s ability to raise additional capital, if necessary, and the resulting potential dilution of the interests of holders of its ordinary shares; (33) the soundness of other financial institutions and other economic, competitive, government, regulatory and technological factors affecting RBB’s operations, prices, products and services; and (34) other risks detailed from time to time in documents filed by RBB with the SEC, including RBB’s quarterly reports on Form 10-Q and its annual report on Form 10-K, for the fiscal year ended December 31, 2020, as amended, all for which actual results could differ from those set forth in the forward-looking statements.

There can be no assurance that other factors not currently foreseen by RBB will not have a material and adverse effect on its business, financial condition and results of operations. In addition, many of these risks and uncertainties are currently magnified by and may continue to be magnified by or could, in the future, be magnified by the recent outbreak of the COVID-19 pandemic. Readers are cautioned not to place undue reliance on the Company’s forward-looking statements, which reflect management’s analysis and expectations only as of the date of such statements. Forward-looking statements speak only as of the date on which they are made, and RBB does not intend and assumes no obligation to publicly revise or update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by federal securities law.



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