Skip to main content

SunTrust Bank and BB&T just announced they would merge, becoming the sixth largest bank in the U.S. That merger could potentially give James Taylor an even bigger platform from which to launch SunTrust’s dealership buy sell business.

“The resources I have currently with SunTrust Robinson Humphrey are fantastic,” Taylor told Automotive Buy Sell Report before the BB&T merger was announced.

Taylor previously was managing director of The Presidio Group, a San Francisco-based investment bank. In January, he became managing director, automotive at SunTrust.

He wouldn’t comment on the merger because it hasn’t closed. But it is safe to say the resources Taylor will have to work with after the merger will be simply enormous. The combined entity is projected to have $442 billion in assets, $301 billion in loans, and $324 billion in deposits.

A full-service commercial, corporate and investment, and consumer bank, SunTrust already has a thriving automotive retail business, providing its 400 active dealer clients with services ranging from indirect lending, floor plan financing, loan syndication and bond offerings, equity capital raises and private wealth services. It has over $8 billion and growing in commercial lending relationships, says Taylor.

But SunTrust hasn’t been doing dealership mergers and acquisitions, he says. Taylor’s mandate is to launch a buy sell business with a national focus.

“The leadership at SunTrust has recognized there is a void among major lenders offering a full range of service from acquiring your first dealership to monetizing your automotive business, says Taylor.

The bank will work with all size deals, from a single point dealership to a large platform sale or acquisition. Its first obligation, Taylor emphasized several times, is to serve the bank’s existing dealer clients. “If they want to grow, optimize, or they want to get out, we are here to help them” he says.

No deal too small

Few full service banks are involved in dealership mergers and acquisitions. If a bank is properly credentialed for that kind of business, says Taylor, the automotive retail world is “too fractured and small” to get involved in.

“No deal is too small or too large” for SunTrust, he says.

Because it has a full-service corporate and investment bank, SunTrust can offer “a soup to nuts approach to all the capital needs a dealer is going to have in their life as car dealers and post-dealership life with our private wealth advisory” says Taylor.

There are three primary reasons a dealer sells his or her dealership, he says. They want to retire for any number of reasons from health issues to spending more time on other pursuits or pressure from the manufacturer. Other dealers are aging and have no successor. In those cases, SunTrust can help dealers monetize their assets, says Taylor.

The second reason is shareholder issues such as not wanting to work with a partner any more or other shareholders making decision one doesn’t agree with. SunTrust can suggest alternatives so the dealer won’t have to exit the dealership or provide alternative investors who are a better fit with the dealer.

The third reason is the best reason: maximize the sale of their business while the auto retail industry is strong and interest rates are low.

While no deal may be too small, SunTrust is clearly after the megadeals.

He joined SunTrust, says Taylor, to have the resources to conduct the “very large transactions that we believe are going to happen in the dealership world.”

Says Taylor: “We believe there will be decidedly fewer dealership owners in the medium to longer term.”

Read full article

Tech Gal

Upgrade to The Next Big Thing in Banking.

Our industry coverage spans a wide array of sectors where we focus on the inter-connectedness of our sectors and our client first, OneTeam Approach, which is the hallmark of SunTrust Robinson Humphrey. Our sector focus includes: Software and Services: Enterprise Applications Software, Infrastructure Software , Storage & Data Protection, and Security & Risk Compliance.

  • Software and Services: Enterprise Applications Software, Infrastructure Software, Storage & Data Protection, and Security & Risk Compliance.
  • Healthcare Information Technology: Digital Health, Population Management, Revenue and Payment Integrity, Inpatient and Post-Acute Systems.
  • Internet and Digital Media: Ad-Tech, Digital Content, Digital Media Infrastructure, eCommerce and eRetail, eCommerce Platforms, Gaming, Marketplaces, and Marketing Technology.
  • Media & Communications: Cable, Wireline and Wireless, Broadband Transport, Unified Communications, Data Centers, Managed Services, Internet of Things, Machine-to-Machine, Satellites, TV and Radio Broadcasting, Outdoor Advertising, Cable Programming, Content Origination.
  • Tech Payments and Business Services: Payment Technology, Bank Technology, Markets Technology, Financial Data & Analytics, Human Capital Services, IT & Professional Services, and BPO & Facilities Services.

Null

Big Expertise.
Boutique Feel.
That's Ingenuity.

Our Technology, Media, and Telecommunications (TMT) Investment Banking Group offers the industry expertise and experience you’d expect from a larger bank, along with the personalized strategic approach you’d typically only find at a boutique investment bank.

Our TMT Group possesses deep domain knowledge spanning our sectors of expertise, backed by a history of developing deep, long-term relationships with expertise across all of SunTrust Robinson Humphrey’s investment banking products and services.

null

Our Tech Smarts. Your Smart Growth.

We serve our clients as a trusted advisor with respect to all aspects of their strategic and financial goals and needs. Our sector-focused coverage team has the background and knowledge to offer critical insights into industry trends, competitive dynamics and strategic positioning, valuation paradigms, projected industry activity and balance sheet strategies. These insights enable us to deliver our full-service, universal investment banking capabilities in a customized manner to help meet and exceed the specific objectives tailored to each client.

  • Our full-service business model and long-term relationship approach provide our clients with a trusted partner who can deliver across the entire scope of advisory and capital markets services.
  • Our Mergers & Acquisitions practice focuses on acquisitions, divestitures, fully-marketed sales and fairness opinions for the public, private and private equity marketplace.
  • Our capital markets platform has a long history of leadership driven transactions in the public and private markets for both equity and debt capital offerings.
  • Our early stage lending capabilities help selected, high growth companies who have created significant enterprise value access the debt markets for growth oriented financing needs.

Technology, Media & Telecommunications

Thank you for visiting SunTrust Robinson Humphrey. If you would like more information, please submit an inquiry.

Click here to contact us

About SunTrust Robinson Humphrey

As a SunTrust Robinson Humphrey client, you will find that we are focused on becoming your company’s trusted strategic and financial advisor through a highly personalized approach and integrated corporate and investment banking platform, which focuses on putting your company’s needs above all else.