Simplicity Bancorp Merging with HomeStreet

LOS ANGELES—HomeStreet, Inc. and Simplicity Bancorp are planning to merge. The companies announced the plan Monday in a press release, and were to hold a joint investor call this afternoon. Under the terms of the 100% stock agreement, Simplicity stockholders are expected to receive one share of HomeStreet common stock for each share owned of Simplicity common stock, subject to adjustment if HomeStreet’s closing stock price during a specified measurement period prior to closing is more than $20 or less than $15 per share.

Under the agreement, Simplicity, a Maryland corporation and savings and loan holding company, will merge with HomeStreet, and Simplicity Bank, a federally chartered savings bank institution, will merge with HomeStreet’s subsidiary, HomeStreet Bank.