COLUMBUS, Ga. – Synovus (NYSE:) Financial Corp. (NYSE: SNV), a regional bank headquartered in Columbus, Georgia, has launched a public offering of senior notes due 2030. The Company announced today that proceeds from the offering will be allocated to general corporate activities, which may include repayment of existing debt.

In the financial services sector, this type of offering is a common way for companies to raise capital for various business needs. BofA Securities, Inc. and Morgan Stanley & Co. LLC are leading the transaction as active joint book-running managers. Additionally, Synovus Securities, Inc. is listed as a passive book-running manager.

The offering is being made pursuant to an effective registration statement filed under the Securities Act of 1933, as amended. The sale of these securities will be made by means of a prospectus supplement and an accompanying prospectus and is subject to legal and regulatory requirements.

Prospective investors are urged to read the prospectus supplement, registration statement and other relevant documents filed with the Securities and Exchange Commission (SEC) before investing. These documents are available free of charge on the SEC website.

Synovus Financial Corp. is a major player in the financial services industry with assets of around $60 billion. The company offers a wide range of banking services and specialty products, including wealth services, treasury management and international banking. The company operates offices in Georgia, Alabama, Florida, South Carolina and Tennessee and has been recognized as a Great Place to Work Certified Company.

This news is based on a press release and does not constitute an offer to sell or a solicitation of an offer to purchase the securities described. The offering is subject to market conditions and there can be no guarantee as to whether or when the offering may be completed.

In other recent news, Synovus Financial Corp reported robust Q3 results with GAAP earnings per share of $1.18 and a 6% sequential increase in adjusted diluted earnings per share to $1.23, reflecting higher net interest income and lower provisions for credit losses. The company completed approximately $100 million in share repurchases during the quarter. RBC Capital Markets maintained an Outperform rating on the company’s shares and revised the price target to $57.00 based on these positive results and Synovus’ strategic initiatives. Citi analyst Benjamin Gerlinger also increased the price target for Synovus to $59.00 and maintained the buy recommendation.

These recent developments reflect analysts’ confidence in the bank’s financial performance and strategic direction. Synovus’ balance sheet realignment and focus on strategic initiatives should contribute to its financial stability and growth potential. The bank expects credit to plateau at the end of the fourth quarter and that credit growth will outpace GDP growth by 100 to 200 basis points. For the fourth quarter, Synovus gave adjusted revenue guidance of $560 million to $575 million and assumed a stable net interest margin.

In the current market environment, the bank’s approach is more focused on organic growth than acquisitions. Synovus’ recent performance and strategic initiatives have resulted in positive analyst forecast revisions, indicating the potential for continued financial success.

Investing Pro Insights

Synovus Financial Corp.’s recent move to launch a public offering of senior notes is consistent with its strong financial position and market performance. According to InvestingPro data, the company has a market capitalization of $7.11 billion and has shown impressive growth over the past year with a total price return of 107.65%.

The bank’s decision to raise capital through this offering comes at a time when the share price is trading near its 52-week high and the current price is 96.81% of that high. This suggests that investors have confidence in Synovus’ financial health and future prospects. Additionally, an InvestingPro tip highlights that Synovus has paid dividends for 51 consecutive years, underscoring its commitment to shareholder returns.

Despite an 18.85% decline in revenue over the last twelve months, Synovus has shown resilience with quarterly revenue growth of 13.3% in the third quarter of 2024. The company’s profitability is further highlighted by its operating profit margin of 31.87% during the same period.

Investors considering Synovus should note that the company’s P/E ratio is 22.59, which may be of interest when valuing the stock in light of the new offering. The company’s dividend yield of 3.04% could also be attractive to income-oriented investors.

For those who want a more in-depth analysis, InvestingPro offers 10 additional tips on Synovus Financial Corp. that provide a more comprehensive overview of the company’s financial health and market position.

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