Company: MCHB
Filing Date: 2025-07-03
Form Type: S-4
Source: 0001140361-25-024872
Chunk: 63

Company: Mechanics Bancorp
Filing Date: 2025-07-03
Form: S-4
Chunk 63
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 regulations governing banks and bank holding companies or result in the impositions of restrictions through supervisory or enforcement activities, including higher capital requirements, which could have a material impact on the businesses of each of HomeStreet and Mechanics and the combined company following completion of the merger.

**The market price of HomeStreet common stock after the merger may be affected by factors different from those currently affecting the shares of HomeStreet common stock.**

As a result of the merger, Mechanics shareholders will become shareholders of the combined company, which will include the businesses of both HomeStreet and Mechanics. HomeStreet’s business differs from that of Mechanics and certain adjustments may be made to the combined company’s business as a result of the merger. Accordingly, the results of operations of the combined company and the market price of HomeStreet common stock after the completion of the merger may be affected by factors different from those currently affecting the independent results of operations of each of HomeStreet and Mechanics. For a discussion of the business of HomeStreet and of certain factors to consider in connection with its business, see the documents incorporated by reference in this proxy statement/prospectus/consent solicitation statement. For a discussion of the business of Mechanics and of certain factors to consider in connection with its business, please review this proxy statement/prospectus/consent solicitation statement, including the sections entitled “ Management’s Discussion and Analysis of Financial Condition and Results of Operations ” and “ Risks Relating to Mechanics’ Business ”.

**Future sales of shares by existing stockholders could cause the combined company’s stock price to decline.**

If existing HomeStreet shareholders and Mechanics shareholders sell, or indicate an intention to sell, substantial amounts of the combined company’s stock in the public market after the merger, then the trading price of the combined company’s stock could decline. Based on shares outstanding as of March 31, 2025 (without accounting for any equity awards of HomeStreet or Mechanics), upon completion of the merger (after giving effect to the exchange ratios), the combined company is expected to have outstanding a total of approximately 220.9 million shares of common stock. Of these shares, only approximately 59.2 million shares of the combined company’s common stock will be freely tradable, without restriction, in the public market (assuming each share of class B common stock has converted into ten shares of Class A common stock).

Upon the registration of the shares held by the Ford Entities and Rabobank (and assuming each share of class B common stock has converted into ten shares of Class A common stock),