Florida businesses that engage in mergers or acquisitions often may get involved in such deals after or because other transactions have already been initiated. With so many businesses being intertwined today, this is simply a reality of the marketplace. Similarly, many companies operate in multiple states which can broaden the reach of any merger or sale of a business.
An example of this can be seen in the merger of two large outdoor retailers that was announced in the fall of 2016. Cabela’s is reportedly being sold to prior competitor Bass Pro Shops for a sum of $5.5 billion. The former as a strong hold in the western part of North America while the latter has a stronger hold in the eastern side of North America. However, the merger between these two businesses is not confined to just their companies.
Cabela’s has owned World’s Foremost Bank and the liabilities and assets of this business are going to be purchased by Synovus Financial Corporation as the merger takes place. Once this purchase is complete, Synovus plans to make a sale to Capital One Bank that will result in a $75 million profit for Synovus. Synovus is based in Ohio but operates in many states including Florida, Tennessee, Georgia, South Carolina and Alabama.
When interested in a sale, merger or acquisition of any scale, businesses may find it beneficial to learn about their options and the ramifications of each by talking with an attorney.
Source: The Telegraph, “Synovus to make $75 million, retain deposits in Bass Pro-Cabela’s merger,” Tony Adams, April 18, 2017
