Company: MCHB
Filing Date: 2025-07-16
Form Type: 424B3
Source: 0001140361-25-026051
Chunk: 1

Company: Mechanics Bancorp
Filing Date: 2025-07-16
Form: 424B3
Chunk 1
---
 upon the terms and subject to the conditions set forth in the merger agreement, at the effective time each share of common stock, par value $50 per share, of Mechanics designated as non-voting common stock (the “Mechanics non-voting common stock”, and together with the Mechanics voting common stock, the “Mechanics common stock”) issued and outstanding immediately prior to the effective time will be converted into the right to receive 330.1092 shares (the “Class B exchange ratio”, and together with the Class A exchange ratio, the “exchange ratios”) of Class B common stock, no par value, of the combined company (the “Class B common stock,” and together with the Class A common stock, the “combined company common stock”), which will be newly created pursuant to the articles amendment.

HomeStreet common stock is traded on the Nasdaq Stock Market (“Nasdaq”) under the symbol “HMST.” The closing price of HomeStreet common stock on Nasdaq on March 28, 2025, the last trading day before the public announcement of the merger, was $9.30 per share. The closing price of HomeStreet common stock on the Nasdaq on July 14, 2025, the last practicable trading day before the printing date of this proxy statement/prospectus/consent solicitation statement, was $13.43 per share. Based on a negotiated valuation of (a) $300 million for HomeStreet and (b) $3.3 billion for Mechanics that was agreed in connection with the merger, the implied value of the merger consideration payable for each share of existing HomeStreet common stock on March 28, 2025 was $15.53, which is based on the number of shares outstanding as of December 31, 2024, shares issued from December 31, 2024 through January 14, 2025, and unvested RSUs / PSUs as of January 10, 2025. Mechanics common stock is privately held. We urge you to obtain current market quotations for existing HomeStreet common stock.

Immediately following the completion of the merger, HomeStreet shareholders will continue to own their shares of HomeStreet common stock, which will be redesignated as Class A common stock.

We expect the merger to qualify as a “reorganization” within the meaning of Section 368(a) of the Code. Accordingly, Mechanics shareholders generally will not recognize any gain or loss for U.S. federal income tax purposes on the exchange of shares of Mechanics