Key facts
- EverBank Financial and WaFd have agreed to a $3.9 billion reverse merger.
- The combined company will be named EverBank Financial Corp and trade on Nasdaq as EVBK.
- EverBank shareholders will hold a 59.2% stake, and WaFd shareholders 40.8%.
- The merger is anticipated to increase WaFd's 2027 earnings per share by approximately 29%.
- The transaction is expected to be completed in early 2027.
EverBank Financial Corp and WaFd, Inc. have announced a definitive agreement to combine in a $3.9 billion reverse merger transaction. Under the terms of the agreement, EverBank Financial Corp will merge into WaFd, Inc., with WaFd, Inc. continuing as the resulting financial holding company. Following the merger, WaFd, Inc. will change its name to EverBank Financial Corp and trade on the Nasdaq Stock Exchange under the new ticker symbol EVBK.
Existing EverBank Financial Corp shareholders will receive common stock in WaFd, Inc. in exchange for their shares. Upon completion, EverBank shareholders are expected to collectively own approximately 59.2% of the pro forma combined company, while WaFd shareholders will own the remaining 40.8%. The transaction is anticipated to create a regional bank with approximately $75 billion in assets.
The merger is projected to increase WaFd's 2027 earnings per share by roughly 29% and recoup tangible book value dilution in less than two years. The combined entity is expected to achieve a return on tangible common equity of approximately 15% after realizing cost synergies. Greg Seibly, current CEO of EverBank Financial Corp, will lead the combined company, with Brent Beardall, CEO and Vice Chairman of WaFd, Inc., serving as Vice Chairman.
This strategic combination aims to leverage EverBank's scalable consumer and commercial banking platforms and WaFd's core deposits and commercial real estate lending expertise. EverBank's 28 financial centers in California are also expected to add scale to WaFd's market presence.