Transaction Overview

Central Valley Community Bancorp  (NASDAQ: CVCY – “Central Valley”), together with its banking subsidiary, Central Valley Community Bank, and Community West Bancshares  (NASDAQ: CWBC – “Community West”), parent company of Community West Bank, jointly announced the signing of a definitive strategic merger agreement. Under the terms of the agreement, Community West Bancshares will merge with and into Central Valley Community Bancorp and Community West Bank will merge with and into Central Valley Community Bank. The proposed transaction will result in forming Central California’s preeminent community bank with total assets of approximately $3.6 billion.

Under the terms of the agreement, Community West shareholders will be entitled to receive 0.79 shares of Central Valley common stock for each share of Community West common stock. The exchange ratio is fixed, and the value of the merger consideration will fluctuate based on Central Valley’s stock price. Central Valley will assume the equity plans and outstanding stock options of Community West as part of the transaction. Based on the closing price of Central Valley stock on October 10, 2023, the transaction is valued at $99.4 million, or $11.15 per Community West common share.

At the close of the transaction, the combined company will retain the banking offices of both banks and anticipates no branch closings as a result of the merger.  The resulting company will assume the name of Community West Bancshares and Community West Bank.  The combined company's board of directors will have 15 directors, consisting of nine from Central Valley and six from Community West.  James J. Kim, President and CEO of Central Valley, will lead the combined bank’s team of executives and professional bankers, and will serve as CEO of the resulting company. Martin E. Plourd, CEO and Director of Community West, will serve as President and Director of the combined company.

About Central Valley Community Bancorp

Central Valley Community Bancorp trades on the NASDAQ stock exchange under the symbol CVCY. Central Valley Community Bank, headquartered in Fresno, California, was founded in 1979 and is the banking subsidiary of Central Valley Community Bancorp. Central Valley Community Bank operates 20 full-service Banking Centers throughout California’s San Joaquin Valley and Greater Sacramento region, in addition to Central Valley Community Bank maintaining Commercial, Real Estate and Agribusiness Lending, as well as Private Banking and Cash Management Departments.

About Community West Bancshares

Community West Bancshares is a financial services company with headquarters in Goleta, California. The Company is the holding company for Community West Bank, the largest publicly traded community bank (by assets) serving California’s Central Coast area of Ventura, Santa Barbara and San Luis Obispo Counties. Community West Bank has seven full-service California branch banking offices in Goleta, Santa Barbara, Santa Maria, Ventura, San Luis Obispo, Oxnard and Paso Robles. The principal business activities of the Company are relationship banking, manufactured housing lending and government guaranteed lending.