Regions Financial in Birmingham, Ala., is buying a Texas-based equipment finance firm as part of a broader effort to expand its small-business offerings.
The $126 billion-asset Regions said Thursday that it has agreed to acquire Ascentium Capital in Kingswood, Texas, from the global private equity firm Warburg Pincus. The bank did not disclose the financial terms of the deal, which is expected to close in the second quarter.
Ascentium has 460 employees, all of whom will join Regions when the deal closes, and partners with almost 4,000 manufacturers, dealers and distributors to finance equipment for small-business customers.
Ascentium,
“We are pleased to join Regions, a firm known for its commitment to the customer experience and a long history of providing comprehensive banking solutions to companies of all sizes,” Depping, Ascentium's CEO, said in a news release. “This combination will enable us to expand our reach and relevance in serving our vendors and small-business customers while continuing to provide seamless service.”
Ronnie Smith, the head of Regions’ corporate banking group, said in the release that the addition of Ascentium "provides a meaningful opportunity to attract new customers and deepen relationships across our combined customer base."
Regions has generally
Regions said the addition of Ascentium would complement its existing equipment financing business.