AmericanWest Bank, with seven branches in San Diego and headquartered in Spokane, Wash., said it’s merging with Banner Bank, also based in Washington, in a deal that would create a “super community bank” with more than $9.7 billion in assets, and about 190 branches in five western states.

Under the terms of the agreement, AmericanWest shareholders will get 13.2 million shares of Banner Corp. stock and $130 million in cash for an aggregate value of $702 million based on Banner’s common stock value as of Nov. 5.

The transaction, already approved by both banks’ boards, needs approval of Banner’s shareholders and regulators but is expected to be completed during the second quarter of 2015.

AmericanWest purchased two San Diego banks in recent years, Sunrise Bank in 2011, and Security Business Bank of San Diego in 2012.