United Community Banks announced a definitive merger agreement  which will allow UCB to acquire Progress, and its wholly-owned subsidiary, Progress Bank & Trust, in an all-stock transaction with an approximate value of approximately $271.5 million.

Progress is headquartered in Huntsville, Alabama, and operates 14 offices in high-growth southeastern markets including Birmingham, Daphne and Tuscaloosa in Alabama and as well as locations in the Florida panhandle.

As of March 31, Progress had total assets of $1.9 billion, total loans of $1.3 billion, and total deposits of $1.7 billion. In addition to traditional banking products, Progress offers wealth management and private banking through Progress Financial Services with approximately $1.2 billion in assets under management.

“We believe Progress and United to be a great cultural fit and are excited to join forces in Alabama and the Florida panhandle. Progress bankers and their customers will benefit from the expanded products and resources that we are able to bring to the table,” said Lynn Harton, chairman and chief executive officer of UCB.

Harton said their focus continues to be on high growth markets in the Southeast with attractive demographics and strong in-migration.

“Progress’ footprint will complement our existing markets and be accretive to our franchise value,” Harton said. “We have been investing in Birmingham over the past several years and have SBA and Senior Care teams already in place. I spent several years as a banker in these markets and know well the potential they represent. I am looking forward to bringing Progress into the United team.”

The merger is expected to be completed in the fourth quarter of 2022 and is subject to customary conditions, including regulatory approval as well as the approval of Progress’s shareholders.