HOME Bancshares Inc.

Banks - Regional • Financial Services • Conway, AR, United States • HOMB (NYQ)

501 339 2929 719 Harkrider Street, Conway, AR 72032, United States

Quarter: Q1 2022 Reported: December 8, 2025 Sentiment: Positive

Home Bancshares, Inc. (Conway, AR) operates as the bank holding company for Centennial Bank that provides commercial and retail banking, and related financial services to businesses, real estate developers and investors, individuals, and municipalities in the United States. The company offers checking, savings, and money market accounts, as well as certificates of deposit. It also provides non-farm/non-residential real estate, construction/land development, residential mortgage, consumer, agricultural, and commercial and industrial loans. In addition, the company offers internet and mobile banking, voice response information, cash management, overdraft protection, direct deposit, and automatic account transfer services, as well as safe deposit boxes and the United States savings bonds. Further, it writes policies for commercial and personal lines of business, including insurance for property, casualty, life, health, and employee benefits. The company operates through branches in Arkansas, Florida, South Alabama, Texas, and New York City. Home Bancshares, Inc. (Conway, AR) was founded in 1903 and is headquartered in Conway, Arkansas.

Analysis Summary

Home BancShares, Inc. (HOMB) has announced a significant strategic expansion through the acquisition of Mountain Commerce Bancorp, Inc. (MCBI) and its subsidiary, Mountain Commerce Bank. The Agreement and Plan of Merger, dated December 7, 2025, outlines an all-stock transaction where HOMB will issue approximately 5.4 million shares of its common stock, valuing the deal at roughly $150.1 million based on a volume-weighted average closing price of HOMB's stock. Each outstanding share of MCBI common stock will be converted into the right to receive 0.85 shares of HOMB common stock.

This merger is a key strategic initiative for HOMB, aiming to expand its geographic footprint and increase its market share. Upon completion, the combined entity is projected to have approximately $25.0 billion in total assets, $17.0 billion in total deposits, and $19.2 billion in total loans, operating 225 branches across Arkansas, Florida, Texas, Tennessee, Alabama, and New York City. The retention of MCBI's founder and CEO, William E. Edwards, III, along with other key personnel, through employment agreements with Centennial Bank, signals a focus on continuity and successful integration.

Management commentary suggests a positive outlook for the combined entity, emphasizing growth and enhanced competitive positioning. The transaction is expected to close during the first half of 2026, contingent upon MCBI shareholder approval, various regulatory approvals, and other customary closing conditions. Directors and certain officers of MCBI, representing approximately 22.5% of outstanding shares, have already entered into voting and support agreements in favor of the merger, indicating strong internal support.

Risk factors highlighted include the possibility of the acquisition not closing as expected due to unreceived approvals, higher-than-anticipated completion costs, challenges in realizing full benefits or integration, and potential negative reactions from customers, employees, or counterparties. It is important to note that this analysis is based on a Form 8-K filing regarding a merger agreement, not a Q1 2022 earnings call transcript, thus specific Q1 2022 financial performance metrics (revenue, earnings, EPS, growth rates) are not available in the provided document.

Key Highlights

• Home BancShares, Inc. (HOMB) to acquire Mountain Commerce Bancorp, Inc. (MCBI) in an all-stock transaction.
• Acquisition valued at approximately $150.1 million, involving the issuance of 5.4 million HOMB shares.
• MCBI shareholders to receive 0.85 shares of HOMB common stock for each MCBI share.
• Merger expected to close in the first half of 2026, subject to regulatory and shareholder approvals.
• Combined company projected to have $25.0 billion in assets, $17.0 billion in deposits, and $19.2 billion in loans.
• Key MCBI management, including CEO William E. Edwards, III, to join Centennial Bank.
• Voting agreements secured from MCBI directors and officers, representing 22.5% of shares.

Financial Metrics

eps

N/A

YoY: N/A

revenue

N/A N/A

YoY: N/A

guidance

net income

N/A N/A

YoY: N/A

Stock Performance (90 Days)

Data through Jan 14, 2026

Layoff Events

Earnings Calls

Positive Signals

• Strategic expansion into new geographic markets (Tennessee) and increased scale.
• All-stock transaction preserves cash for future operations.
• Retention of key management from the acquired entity (MCBI's CEO and other officers).
• Significant pro forma financial scale with $25.0 billion in assets post-merger.
• Strong internal support indicated by voting agreements from MCBI directors and officers.

Risks & Concerns

— Risk that the acquisition does not close as expected due to unreceived regulatory or shareholder approvals.
— Possibility that the transaction may be more expensive to complete than anticipated.
— Risk that the benefits from the transaction may not be fully realized or may take longer than expected.
— Challenges and difficulties in promptly and effectively integrating the businesses of Home and MCBI.
— Potential negative reactions to the transaction from customers, employees, and counterparties.