Jefferson Financial to Buy Three Bank Branches
New Orleans CU to top $1 billion in assets with Synovus deal.
A New Orleans credit union will top $1 billion in assets through a planned purchase of three bank branches near Mobile, Ala.
Jefferson Financial Federal Credit Union of Metairie, La., will pay a deposit premium of $14.5 million to Synovus Financial Corp. in exchange for two branches in Mobile, and one across Mobile Bay in Daphne, Ala. The deal announced Sept. 26 includes $138 million in loans, $107 million in deposits and other assets.
Jefferson Financial was already growing fast. In the 12 months ending June 30, its assets rose 78% to $926.4 million, while members grew 29% to 56,496. Some of its growth came from the acquisition last year of the $103 million Coastland Credit Union in Metairie, La., through a merger, and the $54.9 million Riverdale Credit Union in Selma, Ala., following its liquidation by NCUA in December 2017.
The branches will continue operating as Synovus Bank until the transaction is completed, which is expected in the first quarter of 2019, subject to regulatory approval and satisfaction of customary closing conditions.
Synovus Financial Corp. is a financial services company based in Columbus, Georgia, with approximately $32 billion in assets. Synovus provides commercial and retail banking, investment, and mortgage services through 249 branches in Georgia, Alabama, South Carolina, Florida, and Tennessee.