Shares of Los Angeles-based lender PacWest Bancorp (NASDAQ: PACW) traded nearly 13% higher as of 1:49 p.m. ET today, as the bank continued to rally after announcing a loan portfolio sale yesterday.

In a regulatory filing, PacWest announced that it had entered into an agreement to sell a real estate construction loan portfolio with an outstanding balance of $2.6 billion to a subsidiary of Kennedy-Wilson Holdings (NYSE: KW).

Kennedy-Wilson will also be responsible for future funding obligations under the loan portfolio of roughly $2.7 billion. The company also agreed to purchase six other real estate construction loans with outstanding balances of $363 million.

Continue reading

Source Fool.com