Fifth Third to buy Comerica for $10.9 billion in biggest US bank deal of the year David HollerithOctober 6, 2025 at 9:00 PM 0 Fifth Third Bancorp (FITB) has agreed to purchase Dallasbased Comerica (CMA) for $10.9 billion, the regional banks said Monday.
- - Fifth Third to buy Comerica for $10.9 billion in biggest US bank deal of the year
David HollerithOctober 6, 2025 at 9:00 PM
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Fifth Third Bancorp (FITB) has agreed to purchase Dallas-based Comerica (CMA) for $10.9 billion, the regional banks said Monday.
Pending regulatory approval, executives for Fifth Third and Comerica expect the deal to close at the end of the first quarter of next year, creating one of the nation's largest US commercial banks with $288 billion in total assets.
The all-stock transaction is aimed at helping Midwest lender Fifth Third, based in Cincinnati, compete against the nation's mega banks as it seeks to expand in the Southeast and Southwest.
"This combination marks a pivotal moment for Fifth Third as we accelerate our strategy to build density in high-growth markets and deepen our commercial capabilities," Fifth Third CEO Tim Spence said in a related press release.
"Comerica's strong middle market franchise and complementary footprint make this a natural fit," Spence added.
Comerica's stock rose 17% in early Monday trading. It's up 34% for the year. After briefly falling following the announcement, Fifth Third's stock rose roughly 2% over the same period. It's up 7% so far this year.
The deal is the largest US bank acquisition in nearly three years, according to S&P data. It comes as just the latest bank merger in a year when those transactions have been accelerating.
Regional banks across the country began seeing the need to bulk up following a mini banking crisis in 2023 that underlined some competitive disadvantages to their bigger peers.
The Trump administration's more permissive stance on bank merger policy has also played a crucial role.
Bigger banking: A Fifth Third Bank location in Cincinnati. (AP Photo/Al Behrman, file) ()
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Some other notable bank deals this year involved Pittsburgh-based PNC Bank's agreement in September to purchase FirstBank, a Colorado-based community bank, for $4.1 billion.
In July, Nashville's Pinnacle Financial Partners (PNFP) agreed to acquire Columbus, Ga.-based Synovus (SNV) for $8.6 billion, and Columbus lender Huntington Bancshares (HBAN) announced an agreement to acquire Dallas-based Veritex Holdings (VBTX) for $1.9 billion.
In May, Capital One (COF) completed its $35.3 billion acquisition of Discover Financial.
The Fifth Third announcement comes after Comerica faced mounting pressure from analysts and investors to deliver better shareholder returns after years of following behind peers.
Over the summer, little-known activist investor Holdco Asset Management published a critical 52-page report, declaring a 1.8% ownership of Comerica's common shares and urging the regional lender to hire investment bankers and begin marketing itself as an acquisition target.
"Admittedly, we were hit a bit harder than some during the regional bank crisis," Comerica CEO Curt Farmer said during a Monday call with analysts. "And it took us a bit to recover from that."
The current environment for US banks is one "where I think scale makes a difference," Farmer added.
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David Hollerith covers the financial sector, ranging from the country's biggest banks to regional lenders, private equity firms, and the cryptocurrency space.
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