United Community and Progress finalize bank merger

Huntsville-headquartered Progress will now operate under United brand

Progress Bank’s Madison location.

United Community Banks Inc. has completed its merger with Huntsville-headquartered Progress Financial Corp. Progress, parent of Progress Bank & Trust, will now operate under the United brand. United Community Banks Inc.  is headquartered in Greenville, South Carolina.

Progress operated a 14-branch network in Alabama and Florida. As of Sept. 30, 2022, Progress had reported total assets of $1.7 billion, total loans of $1.4 billion and total deposits of $1.5 billion.

“Progress has a culture much like ours with a commitment to community engagement, customer service and the employee experience,” said Lynn Harton, chairman and CEO of United. “Chairman and Chief Executive Officer David Nast founded Progress in 2008 with a goal of providing the products and services of a larger bank, but with the attention and local service that customers deserve — the same model we strive to execute at United. We look forward to continuing to grow together.”

Nast says that the growth of Progress will continue under the United brand. “Our partnership provides us the immediate benefit of being able to better serve our customers with a larger balance sheet and expanded products and services. I am proud to be a part of the United team and look forward to leading the Alabama and Florida Panhandle market.”

The merger was announced in May 2022 as an all-stock transaction with a value of approximately $271.5 million, or $23.52 per share for Progress common stock, based on United’s closing stock price of $30.55 as of May 3, 2022. Under the terms of the agreement, Progress shareholders received 0.77 shares of United common stock for each share of Progress common stock outstanding.

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United Community Banks, as of Sept. 30, 2022, and including Progress, had $25.4 billion in assets and 207 offices in Alabama, Florida, Georgia, North Carolina, South Carolina and Tennessee, along with a national SBA lending franchise and a national equipment lending subsidiary.

Piper Sandler & Co. acted as financial advisor to United, and Nelson Mullins Riley & Scarborough LLP served as United’s legal advisor. Stephens Inc. served as financial advisor to Progress, and Maynard Cooper & Gale PC served as Progress’ legal advisor. 

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