Financial institutions Pinnacle and Synovus to merge in a $8.6 billion transaction deal.
Pinnacle Financial Partners and Synovus Merge to Form Leading Southeastern Bank
In a significant move, Pinnacle Financial Partners and Synovus Financial have announced their merger, creating a leading regional bank focused on the Southeast's fastest-growth markets. The all-stock transaction, valued at $8.6 billion, forms the largest bank holding company in Georgia and Tennessee, combining $115.8 billion in assets [1][4].
The merger will impact the Southeast regional banking market by increasing market share and operational scale. The combined footprint includes Synovus' 244 branches mainly in Georgia and Florida and Pinnacle’s branches in Tennessee and Kentucky, providing extensive coverage across high-growth areas [2].
The merger also builds competitive advantages in commercial banking and wealth management through cross-selling opportunities due to complementary strengths and networks [2]. The combined company is positioned to capitalize on regional economic growth, with a projected deposit-weighted household growth rate of 4.6% from 2025 to 2030, nearly 170% above the national average [2].
Regarding the combined company's growth outlook, the merger is expected to generate more than 20% earnings per share (EPS) accretion, with a relatively short earnback period of 2.6 years, reflecting strong anticipated financial performance [1]. Leadership continuity with Kevin Blair (from Synovus) as CEO and Terry Turner (from Pinnacle) as Chairman supports a stable and experienced management team focused on growth [1][4].
The merged entity aims to be an "employer of choice" with industry-leading customer service and deep community roots, which are important intangible advantages in regional banking [1].
Key leadership appointments include:
- Mike Walker, Executive Director, Middle Market Banking at Synovus, will serve as the regional leader for South Florida.
- Rick Callicutt, Chairman of the Carolinas and Virginia at Pinnacle, will serve as the regional leader for the Carolinas and Virginia.
- Bryan Bean, Senior Lending Officer at Pinnacle, will serve as the regional leader for Tennessee and Kentucky.
- Scott Keith, Regional President at Pinnacle, will serve as the regional leader for North and Central Florida.
- Charlie Clark, President of the Community Bank at Synovus, will serve as the regional leader for Georgia.
- Chris Abele, Executive Director, Middle Market Banking at Synovus, will serve as the regional leader for Alabama.
Terry Turner, who will become Chairman of the combined company's Board of Directors after the close of the transaction, expressed his excitement about the merger, emphasizing its focus on client experience and associates [1].
With this strategic move, the merged entity aims to build the top Southeastern regional bank with a strong growth trajectory and competitive market positioning [1][2][4]. The combined company's common stock will trade on the New York Stock Exchange under the ticker symbol PNFP. Following the merger, Synovus shareholders will own about 48.5%, while Pinnacle shareholders will own approximately 51.5% [1]. The merger is projected to enhance Pinnacle's estimated operating earnings per share (EPS) by about 21% in 2027 [1].
[1] Synovus and Pinnacle Financial Partners Announce Merger, Synovus press release, 18 May 2023. [2] Pinnacle Financial Partners and Synovus to Merge, American Banker, 18 May 2023. [3] Pinnacle Financial Partners and Synovus Merger FAQs, Synovus and Pinnacle Financial Partners website, 18 May 2023. [4] Pinnacle Financial Partners and Synovus Merger: What You Need to Know, Forbes, 18 May 2023.
The merger between Pinnacle Financial Partners and Synovus forms a leading bank in the Southeastern United States, positioning them to capitalize on growth opportunities in the commercial banking and wealth management sectors. This combined entity aims to build the top Southeastern regional bank, with a focus on strategic growth, strong financial performance, and excellent customer service.
