Synchrony sees Ally Lending acquisition accretive to FY24 EPS

Synchrony (SYF) announced it completed its acquisition of Ally Lending, the point of sale financing business for Ally Financial (ALLY) that includes $2.2 billion of loan receivables. Synchrony expects this acquisition to be accretive to full year 2024 earnings per share, excluding the impact of the initial reserve build for credit losses at acquisition. The acquisition is expected to realize an attractive internal rate of return for Synchrony with an approximate three-and-a-half-year tangible book value earnback.