First Tennessee Bank, the regional bank of First Horizon National Corp., announced Monday that it has completed its previously announced acquisition of the Southeast and Southwest regional loan portfolios of GE Capital’s restaurant franchise finance business. The loans totaled approximately $535 million as of close, down from the previously announced $637 million due to amortization and additional principal payments related to normal course of business activity.
The transaction is expected to be immediately accretive to First Horizon’s earnings per share. The acquired loans will be combined with existing First Tennessee relationships to establish a restaurant franchise finance specialty lending business. The new line of business will have approximately $750 million of outstanding loans.
First Tennessee has hired Todd Jones to lead the franchise finance team and added 10 others in new banking roles. Mr. Jones brings more than a decade of experience in the franchise finance business, most recently as senior managing director for brand management at GE Capital Franchise Finance.
“The addition of Todd and his team of experienced bankers rounds out our capabilities in this new specialty lending area,” said David Popwell, president of banking for First Horizon. “We are excited about this addition and look forward to serving our customers, growing our relationships and further developing this specialty lending area in the years ahead.”