Hope Bancorp, Inc. · NASDAQ:HOPE
Hope Bancorp — Merger or Acquisition (April 2024)
12 slides from Hope Bancorp's merger presentation, Apr 29, 2024
Slide 1: A Strategically Compelling & Financially Attractive Combination
A Strategically Compelling & Financially Attractive Combination April 29, 2024
Slide 2: Forward Looking Statements & Additional Disclosures
Forward Looking Statements & Additional Disclosures This presentation contains statements regarding future events or the future financial performance of Hope Bancorp, Inc. (“Company”) and its proposed merger with Territorial Bancorp Inc. (“Territorial”) that constitute forward-looking statements wit
Slide 3: Transaction Highlights
▪ Creates the largest U.S. regional bank catering to multi-ethnic customers across the continental United States and the Hawaiian Islands ▪ TBNK bolsters Combined Company’s core funding base with $1.6 billion in low-cost deposits as of 12/31/23 ▪ Accelerates diversification of Combined Company’s loa
Slide 4: Overview of TBNK
Overview of TBNK 4 • Headquartered in Honolulu, Hawai‘i • 5th largest deposit market share(1) in the state of Hawai‘i • Founded in 1921: 100+ years of operating history in Hawai‘i • Attractive cost of total deposits: 1.61% spot rate, or 1.20% excl. public deposits, as of 12/31/23 • Low loan-to-value
Slide 5: Pro Forma Loans and Deposits
19% Owner Occupied CRE $15.2B Pro Forma Loans (at 12/31/23) Pro Forma Loans and Deposits 5 Hawai‘i would be the Combined Company’s 3rd largest deposit market by state $16.4B Pro Forma Deposits (at 12/31/23) Pro Forma Deposit Portfolio 62% California 10% New York 10% Hawai‘i 5% Illinois 4% Texas 4% N
Slide 6: TBNK's Core Deposit Franchise: Low-Cost, Granular, Stable
TBNK Deposits ($000) as of Year-End TBNK’s Core Deposit Franchise: Low-Cost, Granular, Stable 6 Source: S&P Capital IQ Pro, Company reports. • FY 2023 avg. cost of total deposits: 1.23%, or 0.79% excl. public deposits • Year-end total cost of deposits @ 12/31/23: 1.61%, or 1.20% excl. public deposit
Slide 7: Transaction Details
Transaction Details 7 Consideration • Fixed exchange ratio: TBNK shareholders to receive 0.8048 shares of HOPE common stock for each share of TBNK common stock • 100% stock-for-stock transaction valued at approximately $78.6MM(1) • Based on HOPE’s closing price on 4/26/24, represents a value of $8.8
Slide 8: Commitment to the Hawai'i Market
• Local staff to ensure relationship continuity for customers • Competitive compensation, benefits and career advancement opportunities EMPLOYEES • Access to expanded array of banking products & services • Benefits from enhanced technology platforms for improved customer user experiences • Shared cu
Slide 9: Appendix
Appendix © spe Bancorp + "J" territorial Bancorp
Slide 10: Bank of Hope's Roots
Bank of Hope’s Roots 10 (Est. 1980 in Los Angeles) 2nd Merger of Equals Jul 2016 Liberty Bank of New York May 2006 Mirae Bank Jun 2009 BankAsiana Oct 2013 Saehan Bank Nov 2013 1st Merger of Equals Nov 2011 Pacific International Bank Feb 2013 Foster Bank Aug 2013 (Est. 1989 in Los Angeles) Asiana Ban
Slide 11: Nationwide Presence Anchored in Asian American Communities
Nationwide Presence Anchored in Asian American Communities 11 Southern California 24 Branches, 1 LPO Northern California 1 Branch, 1 SBA LPO, 1 LPO Washington 4 Branches, 1 SBA LPO, 1 LPO New York/New Jersey 9 Branches, 1 SBA LPO, 2 LPOs Virginia 2 Branches(1) Texas 3 Branches, 2 SBA LPOs 1 LPO Alab
Slide 12: TBNK Operating Markets
Hawai‘i County Maui County Kaua‘i County Honolulu County TBNK Operating Markets 12 Hawai‘i Deposit Market Share (as of 06/30/23)# of Branches 23 Deposit Market Share 2.9% Population 997K Median HHI $97K # of Branches 2 Deposit Market Share 4.4% Population 209K Median HHI $74K # of Branches 2 Deposit