United Community Banks, Inc. announced the closing of its merger with Palmetto Bancshares, Inc. and its wholly owned subsidiary, The Palmetto Bank (“Palmetto Bank”) effective today.The merger of Palmetto into United enhances United’s geographic footprint in the fast-growing markets of Greenville and the Upstate South Carolina region.

The strategic combination strengthens United’s presence in these markets by providing access to Palmetto Bank’s strong customer base and offering opportunities to expand through greater product offerings. Also on September 1, Palmetto Bank merged into United Community Bank, a wholly-owned subsidiary of United, and will continue to operate under the Palmetto Bank brand name until conversion to United’s operating systems, which is expected to occur in February 2016. 

After conversion, it will operate under the brand name of United Community Bank. Until the conversion, Palmetto Bank customers will continue to use their existing products and services.

“We are very pleased to join forces with The Palmetto Bank,” said Jimmy Tallent, chairman and chief executive officer of United. “The Palmetto Bank is a well-established, highly respected community bank that serves customers with focus and dedication, just as United does. We welcome their customers and employees to the United family, and believe our combined company has outstanding growth potential.”

Samuel Erwin, chairman, president and chief executive officer, and Lee Dixon, chief risk and chief operating officer of Palmetto Bank, will join the leadership team of United. “The combination with United will be seamless and beneficial for our customers. It provides a strong platform for further growth in our Upstate markets through enhanced resources, a wider range of products and a continued focus on service,” Erwin said.

Palmetto Bank operates 25 branches in Upstate South Carolina, and at June 30, 2015, had $1.2 billion in assets, $977 million in deposits and $824 million in loans.