Mechanics Bank of Richmond (MCHB)

[Enterprising Investor]

Mechanics Bank Announces Completion of Merger with California Republic Bancorp and Rights Offering (10/03/16)

WALNUT CREEK, Calif.--(BUSINESS WIRE)--Mechanics Bank (“Mechanics”) today announced the completion of its previously announced strategic merger with California Republic Bancorp (“CRB”) (OTCBB: CRPB), a bank holding company for California Republic Bank, which became effective on October 1, 2016. Pursuant Mechanics Bank, and John DeCero succeeded Ken Russell to become the President and Chief Executive Officer of Mechanics Bank. Ken Russell returns to the Ford Financial Fund, while continuing to serve as a director on the Mechanics Bank’s Board.

Keefe, Bruyette & Woods, Inc. acted as financial advisor to CRB, and Sheppard, Mullin, Richter & Hampton LLP acted as legal advisor to CRB in connection with the merger. Wachtell, Lipton, Rosen & Katz acted as legal advisor to Mechanics in connection with the merger and the rights offering.

About Mechanics Bank

Mechanics Bank, established in 1905, is an independent, full service community bank. With more than $3 billion in assets, it is the largest bank headquartered in the Bay Area's East Bay region. Its 30 branch offices throughout Northern California provide a highly personalized relationship banking experience that includes consumer and business banking services, commercial lending, cash management services, and comprehensive trust and wealth management to the terms of the merger, CRB shareholders will receive cash consideration of $37.19 per share. Mechanics also announced today that it has completed its previously announced rights offering. The proceeds from the rights offering were used to help fund the aggregate merger consideration and pay certain fees and expenses related to the merger.

Upon the completion of the merger, John DeCero, formerly the President of CRB, and Jon Wilcox, formerly the Chief Executive Officer of CRB, became members of the Board of Directors of services. The merger with CRB, which became effective on October 1, 2016, added assets of approximately $1.8 billion, as well as five branch offices serving Southern California, located in Newport Beach, Beverly Hills, Irvine, Westlake Village and San Diego. Mechanics Bank will also operate CRB Auto, as a division of Mechanics Bank, which is a relationship based, indirect auto lender, which purchases auto contracts from both franchised and select independent automobile dealerships throughout 14 States—Arizona, California, Colorado, Idaho, Illinois, Iowa, Kansas, Missouri, Nevada, Oklahoma, Oregon, Texas, Utah, and Washington. Mechanics Bank and California Republic Bank are Member FDIC institutions. For more information, go to www.mechanicsbank.com.

http://www.businesswire.com/news/home/20161003006440/en/Mechanics-Bank-Announces-Completion-Merger-California-Republic