Financials Company Atlantic Union Bankshares Announces Merger With American National

Atlantic Union Bankshares AUB has announced a merger with American National AMNB that is expected to be completed in Q1 of 2024.

Under the terms of the agreement, Atlantic Union Bankshares has agreed to give American National $416.80 million in in exchange for AMNB stock. Currently, neither company has disclosed whether the paymentwill be in cash or in stock.

About The Companies Involved

Atlantic Union Bankshares Corp is a financial holding company and a bank holding company. Through its community bank subsidiary, the company provides financial services, including banking, trust, and wealth management.

American National Bankshares Inc is a one-bank holding company. The Bank provides a full array of financial products and services, including commercial, mortgage, and consumer banking; trust and investment services; and insurance.

How A Merger Works

A merger happens when a company combines operations with another company. In practice, one company will buy the other company's stock in exchange for its own stock. In some cases, cash is used to pay for the company's stock but usually the companies agree to a stock-for-stock transaction.

Due to the exchange and acquisition of stock, a merger is similar to an acquisition. This is why the two terms are commonly grouped together as mergers and acquisitions (M&A). However, in a merger, the leadership & operations of both companies usually change dramatically, while during an acquisition this is less likely to happen.

Make sure to follow our mergers & acquisitions calendar to stay-up-to-date on the most recent M&A deals.

This article was generated by Benzinga's automated content engine and reviewed by an editor.