United Community Banks Completes $2.0 Billion Navitas Sale
The Southeastern lender closed the all-cash sale of its equipment finance unit to Wafra funds, sharpening its focus on relationship banking.
United Community Banks, Inc. (UCB) completed the sale of its equipment finance businesses, Navitas Credit Corp. and NLFC Reinsurance Corp., to funds managed by Wafra Inc. for approximately $2.0 billion in cash.
The all-cash transaction, first agreed in June, was priced at a 7% premium to the par value of Navitas’ loan portfolio. The company said the sale reinforces its focus on core Southeastern relationship banking while enhancing liquidity and capital strength.
Chairman and Chief Executive Officer Lynn Harton said the unit had been a contributor for eight years. “We are pleased to announce the completion of the Navitas sale to Wafra,” Harton said. “Over the past eight years, Navitas has been a strong contributor to United, delivering meaningful growth and returns. We are confident that Wafra is well positioned to support Navitas’ continued success.”
When United signed the definitive agreement on June 12, it estimated a $1.9 billion cash purchase price based on March 31, 2026, financials, with the final amount subject to closing adjustments. The company then said it expected a one-time pretax earnings benefit of $109 million, or 3% accretion to tangible book value per share, and 145 basis points of CET1 capital. Net cash proceeds of $1.9 billion were projected to leave a pro forma loan-to-deposit ratio of 74%.
The equipment finance book represented 10% of United’s total loan portfolio and about 50% of net charge-offs for the 12 months ended March 31, 2026. United said the sale would meaningfully reduce the risk profile of that portfolio.
The deal closed after United completed a separate merger with Peach State Bancshares, Inc., effective August 1, 2026. Peach State Bank & Trust, headquartered in Gainesville, Georgia, was merged into United Community Bank and will operate under the United Community brand after systems and signage conversion, which is expected in the first quarter of 2027.
In second-quarter results, Harton had described the Peach State acquisition and the Navitas sale as catalysts for expanding relationships in the Southeast. Excluding the pending Navitas sale, the company reported more than $1 billion in loan production and 6.4% annualized loan growth in the quarter ended June 30, 2026.
United said the Navitas transaction was expected to close in the third quarter under the June agreement. With the sale now complete, the company’s loan book is smaller in equipment finance and larger in Peach State’s Hall County retail and commercial relationships, a combination framed as a return to core banking.