Palo Alto founder Nir Zuk clears key regulatory hurdle to become major shareholder in U.S. Liberty Bank
Fed approval advances Israeli entrepreneur’s expansion into American banking.
A U.S. federal regulator has approved Israeli entrepreneur Nir Zuk’s move to become a significant shareholder in the parent company of Liberty Bank, a California-based federally regulated lender.
The approval was granted by the Federal Reserve Bank of San Francisco, clearing the Palo Alto Networks founder to acquire a substantial stake in the bank’s holding company. If completed, the deal would position him as a major shareholder in Liberty Bank, which is headquartered in Irvine, California and manages approximately $400 million in assets.
Liberty Bank operates under federal supervision by the Office of the Comptroller of the Currency (OCC) and is insured by the Federal Deposit Insurance Corporation (FDIC), placing it within the tightly regulated framework governing U.S. national banking institutions.
The transaction is also expected to bring additional high-profile investors into the bank’s ownership structure. Betsy Cohen and Daniel Cohen, the co-founders of The Bancorp and longtime senior executives in the U.S. financial sector, are expected to participate. Daniel Cohen served as chairman of The Bancorp for 23 years, while Betsy Cohen held the role of CEO for much of that period. The two currently lead Cohen Circle, a venture capital fund focused on financial technology investments.
Existing shareholders, including U.S. investment firms Stone Point Capital and Reverence Capital Partners, are expected to remain as minority investors following completion of the deal.
As part of the planned transaction, Zuk is expected to join the board of the bank’s parent company. Other expected board appointments include Yuval Aloni, a co-founder of esh Bank, and Dr. Nadine Bodo-Trachtenberg, a former Deputy Governor of the Bank of Israel who currently serves as vice chair of esh Bank’s board.
The investment would further deepen Zuk’s involvement in the financial sector. He is already a significant shareholder in the parent company of esh Bank and in eOS, a technology company that developed the operating system underpinning the bank’s infrastructure.
In March 2026, Zuk and other shareholders in esh Bank signed a memorandum of understanding to merge with Isracard, the Israeli credit card company, in a mixed stock-and-cash transaction valued at up to half a billion shekels ($167 million). As part of the agreement, potential additional investment in eOS by Isracard, or by its controlling shareholder, Delek Group, was also under consideration.
