Financial services institution Renasant Corporation has announced the acquisition of The First Bancshares across five-year community benefit plan. Following this announcement, the definite agreement and plan of merger is set to take place with and into Renasant in an all-stock transaction, which is valued at approximately USD 1.2 billion, based on the company’s closing stock price as of July 2026, 2024.

The merger has been approved unanimously by each company’s board of directors, and it will close in the first half of 2025. The process of completion of the transaction is currently subject to customery closing conditions, such as the receipt of required regulatory approvals, as well as the approval of Renasant and The First shareholders. More information on the announcement The merger is expected to develop a six-state Southeastern banking franchise with approximately USD 25 billion in total assets, USD 18 billion in total loans, and USD 21 billion in total deposits, based on financial data as of 30th of June 2024.

The initiative is expected to provide current and future customers with multiple benefits, including the expansion of locations, solutions, and products. The First represents a secure community bank that focuses on the market that it serves, as well as the process of meeting the needs, preferences, and demands of users in an ever-evolving industry. In addition, both companies will continue to prioritise remaining compliant with the regulatory requirements and laws of the financial landscape.

According to the terms and conditions of the merget agreement, shareholders of The First will also receive 1.00 share of Renasant common stock for each share of The First common stock. At the same time, all options of The First will also be cashed out at their in-the-money value at closing. Based on Renasant’s closing stock price of USD 37.09 per share starting as of 26th of July, the implied transaction value is approximately USD 37.09 per The First share, or USD 1.2 billion, in the aggregate.

Excluding one-time transaction costs, the initiative is set to be immediately accretive to Renasant’s estimated earnings per share, as well as to have a positive long-term impact on Renasant’s key profitability and operating rations. .