United Community Banks in Blairsville, Georgia, is acquiring Progress Financial in Huntsville, Alabama, in a bid for added scale in Birmingham and to bolster its wealth management operation.
It would be the second bank acquisition this year for the $24.4 billion-asset United Community, which bought
In 2021, United Community filled a gap in its North Carolina footprint with the acquisition of
Also last year, United Community
With the deal for Progress Financial, United Community aims to continue its momentum on both the banking and wealth management fronts, executives said in a release announcing the deal on Wednesday.
Progress operates 14 branches across several Southeastern markets, including Birmingham, Huntsville and Tuscaloosa in Alabama, as well as the Florida Panhandle. It has assets of $1.9 billion, loans of $1.3 billion and deposits of $1.7 billion.
Additionally, Progress offers wealth management and private banking through Progress Financial Services, a division of Progress Bank. It has about $1.2 billion in assets under management.
United Community has 198 branches spanning Florida, Georgia, North Carolina, South Carolina and Tennessee. In addition to its wealth management, SBA and mortgage operations, it runs a national equipment lending subsidiary.
“Our M&A focus has continued to be on high-growth markets in the Southeast with attractive demographics and strong in-migration. Progress’ footprint will complement our existing markets and be accretive to our franchise value,” Lynn Harton, United Community's chairman and CEO, said in a press release.
“We have been investing in Birmingham over the past several years and have SBA and senior care teams [lending] already in place. I spent several years as a banker in these markets and know well the potential they represent,” he added. “I am looking forward to bringing Progress into the United team.”
United Community said the deal is expected to be accretive to its earnings per share by approximately 7 cents, or 2%, in 2023.
