RICHMOND, Va. — The planned merger of regional banks BB&T Corp. and SunTrust Banks Inc. will result in some management jobs for the combined company being moved out of the Richmond region to Greensboro.
SunTrust confirmed last week that it plans to locate the leadership team for the combined company’s mortgage business in Greensboro, which will mean relocating leadership positions from SunTrust Mortgage operations in South Richmond.
The announcement, first reported Thursday by Richmond BizSense, comes a little more than three months after the two banks announced plans to combine in a $66 billion, all-stock deal that would create the sixth-largest bank in the United States by assets and deposits.
The merger is expected to close later this year and likely will lead to hundreds of branch closings and job reductions, as the companies have said that combining their operations will eliminate about $1.6 billion in annual costs by 2022.
“As part of our planning for the proposed merger of equals, we’ve made the decision to locate the mortgage leadership team for the proposed combined company in Greensboro, N.C.,” SunTrust said in a statement.
Moving the mortgage leadership team will mean “two or three dozen positions may be relocated” over the next two years, the bank said.
The group that will relocate includes Todd Chamberlain, a SunTrust executive vice president who was named the leader of its mortgage division in early 2018.
The company did not say how many other employees work in the division in Richmond and how many might be affected.
“The combined mortgage business will continue to have a significant presence in both Richmond, Virginia, and Greenville, S.C.,” SunTrust said.
Jennifer Wakefield, the interim president and CEO at the Greater Richmond Partnership, the region’s economic development organization, said changes are expected with any merger.
“This doesn’t come as a surprise,” she said. “However, even with the loss of the leadership team of the divisional headquarters, I believe there will still be a significant number of middle-office jobs. Both BB&T and SunTrust have been long-term community champions, and I don’t expect that to change throughout the merger process.”
Meanwhile, the pending BB&T-SunTrust merger appears to be impacting one part of BB&T’s operations in Richmond.
Three top investment bankers with BB&T Capital Markets in Richmond have left the firm and joined global investment banking firm Jefferies.