That’s a wrap: Synovus helps complete Bass Pro-Cabela’s merger

The deal is done for Synovus Financial Corp. in the overall acquisition of Cabela’s by Bass Pro Shops.

The Columbus-based regional bank said Monday that its subsidiary, Synovus Bank, has wrapped up its portion of the merger now nearly in a year in the works. Bass Pro Shops also announced Monday that it and Cabela’s are now one company following the deal valued at more than $5 billion.

The role for Synovus in the purchase was to buy the credit-card assets and related liabilities of World’s Foremost Bank, a subsidiary of Cabela’s Inc., then turn around and sell them to Capital One Bank, which the Columbus company said Monday has been completed.

For its role in the high-profile transaction, Synovus received a cool $75 million. It also is keeping $1.1 billion in deposits from World’s Foremost Bank, with Synovus expected to use the cash infusion to restructure its balance sheet, pay off portions of its debt, and redistribute some capital, which could include buying back shares of its stock.

Synovus Chief Financial Officer Kevin Blair, in a presentation earlier this month at the Barclays Global Financial Services Conference, said that when the proverbial dust settles on the transaction, it should add 5 percent or more to the company’s earnings per share in 2018.

Headquartered in downtown Columbus, Synovus oversees about $31 billion in assets through its banks in five states — Georgia, Alabama, South Carolina, Florida and Tennessee. It has 248 branches in all, including those operated locally by Columbus Bank and Trust.

Synovus stock rose 24 cents to $44.19 per share in trading Monday on the New York Stock Exchange. The stock’s 52-week range is from a low of $31.41 to a high of $45.38 per share.

This story was originally published September 25, 2017 at 5:28 PM with the headline "That’s a wrap: Synovus helps complete Bass Pro-Cabela’s merger."