United Bankshares, Inc. (UBSI), the parent company of United Bank, and Piedmont Bancorp, Inc., the parent company of The Piedmont Bank, today announced they have entered into a definitive merger agreement under which United will acquire Piedmont. This merger will bring together two high-performing banking companies and strengthen United’s position in the Mid-Atlantic and Southeast, making United the 39th largest banking company in the U.S. based on market capitalization. This transaction represents United’s 34th acquisition.
“We are excited to bring these two great companies together,” says Richard M. Adams, Jr., CEO of United Bankshares, Inc. “We share similar commitments to serving our customers and communities with a relationship-focused approach. The greater Atlanta area is the perfect addition to UBSI’s footprint, and we look forward to being a part of the vibrant and fast-growing communities there.”
The combined organization will have more than $32 billion in assets and a network of over 240 locations across eight states and Washington, D.C., in some of the most desirable banking markets in the nation. Piedmont, headquartered in Peachtree Corners, GA, has assets of approximately $2.1 billion and 16 locations. Pursuant to the merger agreement, United will acquire 100 percent of the outstanding shares of Piedmont in exchange for common shares of United. The exchange ratio will be fixed at 0.300 of United’s shares for each share of Piedmont, resulting in an aggregate transaction value of approximately $267 million. The merger has been approved by the board of directors from both companies.
“Piedmont is thrilled to join the United Bank family,” says Monty Watson, chairman and CEO of The Piedmont Bank. “We believe this merger will allow us to better serve our current customers and reach new audiences with enhanced products and services, all while maintaining our personalized community bank approach.” Monty Watson will serve as regional president responsible for Georgia operations at United upon the closing of the merger.
The merger is expected to close late in the fourth quarter of 2024 or early in the first quarter of 2025, subject to the satisfaction of customary closing conditions, including approval by the shareholders of Piedmont and the receipt of required regulatory approvals, which, at the federal level, include the approval of the Federal Reserve. Piedmont will merge into United, and The Piedmont Bank will merge into United Bank, with United and United Bank being the surviving entities.
Raymond James served as financial advisor and Bowles Rice LLP and Sullivan & Cromwell LLP served as legal counsel to United.
Piper Sandler & Co. and Burke Stelling Group, LLC, served as financial advisors to Piedmont and Burke Stelling Group provided a fairness opinion. Alston & Bird LLP served as legal counsel to Piedmont.
