Form 4: Atlantic Union Bankshares Director Shephard Acquires Shares in Merger with American National Bankshares

Director Joel R. Shephard reports acquisition of Atlantic Union Bankshares Corp shares following the merger with American National Bankshares Inc.

Summary

• On April 1, 2024, Joel R. Shephard, a director of Atlantic Union Bankshares Corp, acquired 108,077 shares of common stock.
• This acquisition was a result of the merger between Atlantic Union Bankshares Corporation and American National Bankshares Inc.
• Shephard received these shares in exchange for 80,057.5 shares of American National common stock, with an exchange ratio of 1.35 shares of Atlantic Union for each share of American National.
• Cash was paid in lieu of fractional shares.
• Shephard also acquired 135 shares indirectly through children in exchange for 100 shares of American National common stock in connection with the merger.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive as it reflects a standard transaction following a merger, with no immediate negative implications. The merger itself could be viewed positively for long-term growth.

Positives

• The merger provides Shephard with a larger stake in the combined entity, Atlantic Union Bankshares Corp.

Industry Context

The merger between Atlantic Union Bankshares and American National Bankshares reflects a trend of consolidation within the banking industry, where institutions seek to achieve greater scale and efficiency.

Comparison to Industry Standards

• Mergers in the banking sector often aim to create economies of scale, similar to the merger between BB&T and SunTrust to form Truist Financial Corporation.
• The exchange ratio of 1.35 shares is a key metric in evaluating the fairness of the deal, comparable to exchange ratios in other bank mergers like the acquisition of People's United Financial by M&T Bank.

Stakeholder Impact

• Shareholders of American National Bankshares received shares of Atlantic Union Bankshares, potentially impacting their investment portfolio.
• The merger could lead to changes in services or operations, affecting customers of both banks.

Key Dates