Pinnacle and Synovus to Merge in $8.6 Billion Deal

COLUMBUS, Ga. (AP) — Pinnacle Financial Partners and Synovus Financial Corporation have announced a merger valued at $8.6 billion, creating one of the largest regional banks in the southeastern United States with over $115 billion in combined assets.

The deal, revealed on Thursday, proposes an exchange ratio that values Synovus shares at $61.18 each. This represents a 10% premium to Synovus’ closing stock price of $55.53 on Monday, just before reports of the merger emerged.

In after-hours trading, Synovus shares fell by 8.3% to $52, while Pinnacle’s stock dropped 6%. Earlier in the week, news from Bloomberg indicated that Synovus was considering strategic merger options, causing its shares to rise by 7.3% on Tuesday.

Michael Ashley Schulman, a partner at Running Point Capital Advisors, commented on the implications of the merger. He said, “This could be the first domino in a new round of ‘rack ’em and stack ’em’. A friendlier regulatory environment may help mint several new trillion-dollar megabanks over the next decade, figuratively making Wall Street even more competitive.”

In May, the Office of the Comptroller of the Currency issued rules that may encourage more mergers and acquisitions (M&A) in the banking sector. Analysts predict that M&A activity among banks may increase in the latter half of the year.

Under the terms of the merger, shareholders of both Pinnacle and Synovus will receive stock in the newly formed parent company. Pinnacle shareholders will possess approximately 51.5% of the entity, while Synovus shareholders will hold 48.5%.

Kevin Blair, currently the CEO of Synovus, will lead the new company as CEO and president. Pinnacle CEO Terry Turner will take on the role of chairman. The newly merged entity will operate under the Pinnacle Financial Partners and Pinnacle Bank brand names.

The merger is anticipated to complete in the first quarter of 2026, pending regulatory and shareholder approvals. Both companies have expressed their commitment to continuing philanthropic efforts and community investments in Columbus and throughout the Southeast.