News Summary
FB Financial has announced plans to acquire Southern States Bank in a landmark merger worth $8.6 billion, expanding its footprint in the Southeastern United States. The merger will add significant assets and branches to FB Financial’s portfolio, facilitating further growth. Southern States Bank’s leadership will play vital roles in the new organizational structure, providing continuity during the transition. This deal is anticipated to enhance earnings and create cost-saving opportunities, paving the way for future acquisitions in accordance with FB Financial’s growth strategy.
Tennessee – FB Financial has announced its plans to acquire Southern States Bank in a major merger valued at $8.6 billion. This acquisition is set to significantly expand FB Financial’s presence in the Southeastern United States, increasing its total assets to an impressive $16 billion.
As of December 31, Southern States Bank holds $2.8 billion in assets, with $2.2 billion in loans and $2.4 billion in deposits. The merger will add 15 branches located in Alabama and Georgia to FB Financial’s network, in addition to two loan production offices situated in the Atlanta area. However, FB Financial has indicated that it does not plan to become a dominant player in the Atlanta market right away, opting instead to target surrounding towns for expansion.
Leadership Structure and Shareholder Benefits
In the new organizational structure following the merger, Southern States Bank’s leadership team will play a crucial role. CEO Mark Chambers and CFO Lynn Joyce will be integrated into key positions within the combined company. Additionally, a member of Southern States’ board is set to join FB Financial’s board, ensuring a continuity of expertise and smooth transition.
Shareholders of Southern States Bank will benefit from the merger through a compensation structure that offers them 0.8 shares of FB Financial common stock for each share they hold, which places the value of the deal at approximately $37.64 per Southern States share. The transaction is anticipated to receive regulatory approvals and shareholder votes before its expected closing in the third quarter of 2025.
Financial Impact and Future Plans
This merger is projected to significantly boost FB Financial’s earnings, with an estimated 12% increase in earnings per share by the year 2026. Furthermore, FB Financial is targeting cost savings of around 25% of Southern States’ annual non-interest expenses, with pre-tax transaction expenses anticipated to total about $38 million.
FB Financial’s CEO, Chris Holmes, has indicated the organization’s openness to pursuing further acquisitions should suitable opportunities arise before the merger’s completion. This proactive approach aligns with FB Financial’s broader growth strategy, which aims to enhance its presence in community and metropolitan markets throughout the Southeast.
Background Context
FB Financial, a Nashville-based bank that primarily operates in the Southeast, has been actively looking for opportunities to broaden its footprint. The acquisition of Southern States Bank marks a significant step in achieving this goal. By strategically acquiring another bank, FB Financial is positioning itself to offer enhanced services to its growing customer base while capitalizing on the existing infrastructure and clientele of Southern States Bank.
Southern States Bank, known for its banking services in Alabama and Georgia, has a strong market presence and loyal customer base. This merger not only presents an opportunity for FB Financial to scale its operations but also fosters potential growth in areas that are critical to its expansion objectives.
As both institutions prepare for this significant transition, stakeholders are kept informed about the ongoing developments leading to the anticipated merger, which promises to redefine the competitive landscape in the regional banking sector.
Deeper Dive: News & Info About This Topic
- Banking Dive: FB Financial Acquiring Southern States Bank
- Wikipedia: Banking in the United States
- Knox TN Today: FirstBank to Acquire Southern States Bank
- Google Search: FB Financial Southern States Bank merger
- Main Street Media: Volunteer State Bank Rebrands After Merger
- Encyclopedia Britannica: Merger
- American Banker: HomeTrust to Sell East Tennessee Branches
- Google Scholar: Bank Mergers
- WBBJ TV: Centennial Bank Expands with Acquisition
- Google News: Banking Mergers
Author: STAFF HERE BRISTOL WRITTER
The BRISTOL STAFF WRITER represents the experienced team at HEREBristol.com, your go-to source for actionable local news and information in Bristol, Sullivan County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Bristol Rhythm & Roots Reunion, NASCAR races at Bristol Motor Speedway, Border Bash concert series, and the Hot Bristol Night Car Show. Our coverage extends to key organizations like the Bristol Chamber of Commerce, Believe in Bristol, and the Birthplace of Country Music, plus leading businesses in healthcare, manufacturing, and entertainment that power the local economy such as Ballad Health, Strongwell, and Bristol Motor Speedway. As part of the broader HERE network, including HEREChattanooga.com, HEREKnoxville.com, HEREMemphis.com, and HERENashville.com, we provide comprehensive, credible insights into Tennessee's dynamic landscape.
