Company: MCHB
Filing Date: 2025-07-03
Form Type: S-4
Source: 0001140361-25-024872
Chunk: 216

Company: Mechanics Bancorp
Filing Date: 2025-07-03
Form: S-4
Chunk 216
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 the pendency of the merger; |

| • | the potential effect of the merger on HomeStreet’s overall business, including its relationships with customers, employees, suppliers and regulators; |

| • | the risk of losing key HomeStreet or Mechanics employees during the pendency of the merger and following completion of the merger; |

| • | the possible diversion of management focus and resources from the operation of HomeStreet’s business while working to consummate the merger and integrate Mechanics and HomeStreet; |

| • | the fixed exchange ratio component of the merger consideration, which will not adjust to compensate for potential declines in the value of Mechanics prior to completion of the merger; |

| • | the potential for legal claims challenging the merger; and |

| • | the other risks described under the sections entitled “Risk Factors” and “Cautionary Statement Regarding Forward-Looking Statements.” |

The foregoing discussion of the information and factors considered by the HomeStreet board of directors is not intended to be exhaustive but includes the material factors considered by the HomeStreet board of directors in reaching its unanimous decision to adopt and approve the merger agreement and the transactions contemplated thereby, including the merger. In reaching its decision to approve the merger agreement and the transactions contemplated thereby, including the merger, the HomeStreet board of directors did not quantify or assign any relative weights to the factors considered, and individual directors may have given different weights to different factors. The HomeStreet board of directors considered all these factors as a whole, including through its discussions with HomeStreet’s management and financial and legal advisors, in evaluating the merger agreement and the transactions contemplated thereby, including the merger. There can be no assurance about future results, including results expected or considered in the factors listed above. This explanation of the reasoning of the HomeStreet board of directors and all other information presented in this section is forward-looking in nature and, therefore, should be read in light of the future factors discussed in the section entitled “ Cautionary Statement Regarding Forward-Looking Statements.” The HomeStreet board of directors unanimously concluded that the potential positive factors outweighed the potential risks of entering into the merger agreement and completing the merger. In considering the recommendation of the HomeStreet board of directors, you should be aware that certain directors and executive officers of HomeStreet may have interests in the merger that are different from, or in addition to, interests of HomeStreet shareholders generally and may create potential conflicts of interest. The HomeStreet board of directors was aware of these interests and considered them when evaluating and negotiating the merger agreement, the merger and