Pinnacle Financial Partners, Inc. · NYSE:PNFP
Pinnacle Financial Partners — Merger or Acquisition (April 2015)
23 slides from Pinnacle Financial Partners's merger presentation, Apr 29, 2015
Slide 1: Expansion into Memphis: Acquisition of Magna Bank and Memphis Lift Out
Exhibit 99.3 Expansion Acquisition M. Harold April Terry 29, R.Turner, 2015 Carpenter, into of Magna Memphis, President EVP Bank TN and and & CFO Memphis CEO Lift Out
Slide 2: Safe Harbor and Additional Information
Safe All Securities other Pinnacle Magna Pinnacle’s materially realized give or the Magna’s anticipated, of 8-K revise Additional In common and Bank INVESTORS DOCUMENTS CAPITALMARK Investors may Quail This 2unlawful CapitalMark’s and connection Mergers, statements, CapitalMark’s filed be rise Harbor
Slide 3: Pinnacle's 5-Year Plan and Progress
Pinnacle’s PNFP 5-Year 1. 2. a) b) private grow 3. Completed 4. that expected required ROA 5. 3Record Expand Increase Increased Continued Chattanooga Memphis can aof isHorizon significant bankers quarterly drive 1.45%—ROATE working regulatory toto CRE Focus assets investment be capital Lift Tennesse
Slide 4: Memphis Is a Significant Piece of the Puzzle
Pinnacle Memphis Significant 1. 2. 43. First Horizon Regions SunTrust Has represents 2. Regional 3.Targeted Regions SunTrust 1. Bank the Bank 2. Four 3. final of SunTrust Regions Competitors America Urban piece2. Markets of 3.1. SunTrust Regions the First “puzzle” Horizon 1. First Horizon
Slide 5: Magna Acquisition Rationale
Magna Acquisition Growing Consistent Q1’15 Long-time Magna’s 4th 6th 12th Attractive $8+ Accretive 5(1) Accretion/Dilution inbillion inKnoxville Nashville Chattanooga –Transaction Bank Memphis 1.01% market emphasis to financial Memphis balance in provides first tangible ispro the ROAA share twelve f
Slide 6: Transaction Value and Consideration
Transaction Value(1) Consideration Magna Leadership •Expected (1) 6cashed $15.41 Price 75% $18.8 Magna SBLF 1Kirk September Customary Systems Board Based stock Bailey /out Transaction EVP million redemption Q1 per Bank •Closing Seat on conversions Price at Banking ’15 /30, share; and regulatory Magn
Slide 7: Commercial Loan Mix: Magna's and Pinnacle's
Commercial Magna’s Pinnacle 5.2% 15.7% 38.5% 35.2% 18.0% 17.4% 3.5% 3.6% 23.3% 14.6% 13.0% 16.6% Loans Construction 1-4 Multifamily CRE—Income CRE—Owner Consumer 4,604,066 C&I Total Source: 7Note: Family 1,773,960 + Commercial 7.0% 33.7% Financial ($000) 25.7% 4.0% 18.6% 0.6% Owner-Occupied SNL Fina
Slide 8: Deposit Mix: Magna's and Pinnacle's
Deposit Magna’s Pinnacle 9.0% 27.6% 19.3% 63.4% 54.3% Deposits Non-Interest Int. Time 4,782,605 Source: 8Note: Bearing Deposits 11.5% Financial 26.4% 60.0% 61.9% SNL Funding Financial deposit ($000) 100.0% Trans 12.7% Bearing Financial; 28.5% 431,143 data Deposits mix Similar & 780,500 Partners, as
Slide 9: Comprehensive Due Diligence and Key Risk Areas
Comprehensive Key Risk etc. Credit portfolio. Asset Sensitivity Liquidity risk behavioral EWRM Compliance IT understanding Personnel Policies •positively Residential Secondary Servicing manager scale. Key Client Detail Strong Non Deposit Compliance Pinnacle HR Mortgage &and Focus Management Operatio
Slide 10: Magna Revenue Opportunities and Cost Savings
Magna Revenue Opportunities Purchase Accounting Adjustments Cost East — •Merger 10 Expenses Although Approximately Leverage 25% Approximately Memphis Savings cost Key Related •• CRE Mark savings residential no •Transaction •— Mark opportunity revenue Core and loan Branches $4.4 to75% Germantown loan
Slide 11: Magna EPS and Tangible Book Value Impact
Magna EPS Tangible Value •Pro Capital IRR Based cashed 11 ~3.4% ~4.4% ~8.5% ~11.5% Forma •Impact In Impact on out Financial TCE accretive excess Book Total Magna’s at • ~10.0% and / TA •Risk of Neutral Impact anticipated in 30% 5.2 Based 2016 2017 Leverage million atto16x Capital tangible closing co
Slide 12: Memphis Lift Out: Experienced Banking Professionals
Memphis Experienced Banking Professionals 19.4 Pinnacle Plan •Pro 2017 Information Financial 12 Anticipate Work Damon Regulatory Client Forma years space accounts leadership Work Bell Goal Lift in • 1%—2% > Anticipate Will notices commercial in •–Out 2% •7Previously Memphis $2.5 other will become ac
Slide 13: Major Shareholder Value from Memphis Expansion
PNFP working Major Magna Memphis 13 Shareholder lift Bankrepresents franchise outmerger isprovides its thelong-term Value ideal offers the is meaningful financially final platform Grows significant plan piece infor attractive commercial Memphis ofrevenue PNFP the market to toopportunities launch bot
Slide 14: Appendix Overview
Overview Appendix Magna Biographical Memphis Deposit 14 5-year Market and of Magna Summaries Tennessee Financial ShareBank – Tennessee MSAs Summary Market Demographics
Slide 15: Overview of Pinnacle
Overview PNFP Founded Chattanooga Memphis Knoxville 5Nashville Experienced Commercial Strong Source: 15branches CapitalMark financial SNL inoflocated 1999 business management Magna Financial; performance in Magna Bank the model Company final team with momentum strategic with impressive Documents ext
Slide 16: 5-Year Financial Summary
5-Year Financial Source: 16 SNL Financial, Summary Company Documents
Slide 17: Biographical Summaries
Biographical Mr. subsidiary 1980 mortgage director. served then Kirk Chairman, and Officer in Tennessee’s Bell University Damon active Memphis Ms. marketing Magna Lisa Executive 17 1991 Bailey Chief Foley graduated helped Foley Bailey until member as Bank of Bell in Mr. President banking Chrysalis E
Slide 18: Biographical Summaries (continued)
Biographical Ms. as Lisa Capital, B. Executive Mr. knowledge Committee Thomas President 18 president Frank Stallworth Farnsworth Reid ReidaC. Stallworth is of nationwide Vice of Farnsworth, an of Farnsworth Summaries matters Magna’s executive the isPresident isan the Memphis executive commercial Pre
Slide 19: Memphis Economic Drivers and Diversified Economy
Memphis Economic Diversified •healthcare drives of Busiest 10 for Source: 19 Transportation Employed approximately million the gross local cargo Company Market is Drivers & tourists industry Tennessee’s workforce metro economy bioscience, airport &$68 Documents, Dynamic annually product logistics, b
Slide 20: Tennessee Market Demographics and Deposits by MSA
Tennessee 2015-2020 Total Deposits Top Nashville, Memphis, Knoxville, Chattanooga, Kingsport-Bristol Clarksville, Johnson Jackson, Cleveland, Morristown, Cookeville, Tullahoma-Manchester, Sevierville, Greeneville, Crossville, Athens, Shelbyville, Lawrenceburg, McMinnville, Dyersburg, Source: Note: 2
Slide 21: Tennessee Total Deposit Market Share
Deposit Tennessee Total Deposits 98765432Rank 10 11 12 13 14 15 16 17 18 19 20 Top 24 149 Source: Note: 21 Wells Total Regions SunTrust Bank Pro Pinnacle U.S. BB&T First Wilson Home Fifth Simmons Capital BancorpSouth Franklin Clayton First CapStar CapitalMark Magna 20 Market Institution Forma Loan B
Slide 22: Nashville Total Deposit Market Share
Deposit Nashville-Davidson-Murfreesboro-Franklin, Total Deposits 98765432Rank 10 11 12 13 14 15 16 17 18 19 20 1Top Source: Note: 22 Wilson Wells Total Bank Regions SunTrust Pinnacle First U.S. Fifth Avenue CapStar Volunteer Franklin Commerce Capital First Renasant Community Financial 20 Market Inst
Slide 23: Knoxville Total Deposit Market Share
Deposit Knoxville, Total Deposits 98765432Rank 10 11 12 13 14 15 16 17 18 19 20 1Top Source: Note: 23 Twin Total First SunTrust Regions Home BB&T Pro Pinnacle MoneyTree Bank United Wells TN Tri Clayton U.S. Foothills Citizens Catoosa Capital BB&T Community Sequatchie CapitalMark Mountain Robertson 2
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