Company: MCHB
Filing Date: 2025-07-03
Form Type: S-4
Source: 0001140361-25-024872
Chunk: 218

Company: Mechanics Bancorp
Filing Date: 2025-07-03
Form: S-4
Chunk 218
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 financial impact of the merger on the combined company, including the expected positive impact on certain financial metrics; |

| • | the strategic rationale for the merger, including the strengthening of the combined company’s competitive position in attractive markets and the enhanced ability of the combined company to deliver a broad range of banking services to consumers and businesses in Washington, Oregon and California; |

| • | the Mechanics board of directors’ belief that the combined company will be able to achieve and maintain a low cost of deposits; |

| • | the Mechanics board of directors’ belief that HomeStreet’s earnings and prospects, and the synergies and other financial and operational benefits potentially available in the merger, would create the opportunity for the combined company to have superior future earnings and prospects compared to Mechanics’ earnings and prospects on a standalone basis; |

| • | the fact that 100% of the merger consideration would be in the form of HomeStreet common stock and existing Mechanics shareholders would own approximately 91.7% of the outstanding common stock in the combined company on an economic basis and 91.3% of the voting power in the combined company immediately after the merger, and that existing Mechanics shareholders would continue to participate in potential future growth of the combined company, proportionate to their ownership of the combined company, including any potential growth as a result of the combined company’s enhanced size and access to capital and improved earnings and prospects; |

| • | the complementary nature of the relationship-based cultures of the two companies, including with respect to corporate purpose, strategic focus, target markets, client service, credit profiles, risk management, community development and focus on innovation, and the Mechanics board of directors’ belief that the complementary cultures would facilitate the successful integration and implementation of the transaction; |

| • | the expectation that, following the merger, the combined company would be a leading regional bank on the West Coast; |

| • | the Mechanics board of directors’ conclusion after its analysis that Mechanics and HomeStreet have complementary businesses and prospects due to the nature of the markets they serve and products they offer, and the expectation that the transaction would provide economies of scale, enhanced ability to invest in technology and innovation, expanded product offerings, cost savings opportunities, enhanced opportunities for growth and improvement in risk-adjusted returns through a more diversified revenue mix and strong fee-based income sources; |

| • | the scale and capabilities to accelerate investments in digital capabilities, while also leveraging existing technology, in order to enhance the client and customer experience; |

| • | the expanded possibilities for growth that would be available to