Fifth Third Bancorp announced that it has signed a definitive agreement to acquire Comerica Incorporated in an all-stock deal valued at approximately $10.9 billion. The transaction will create the 9th largest U.S. bank with roughly $288 billion in assets and is expected to be immediately accretive to shareholders while delivering peer-leading efficiency and profitability metrics.
Under the terms of the agreement, Comerica shareholders will receive 1.8663 shares of Fifth Third common stock for each share of Comerica, equating to $82.88 per share, a 20% premium over Comerica’s 10-day volume-weighted average price. Upon closing, Fifth Third shareholders will hold approximately 73% and Comerica shareholders 27% of the combined company.
“Comerica’s strong middle market franchise and complementary footprint make this a natural fit. Together, we are creating a stronger, more diversified bank that is well-positioned to deliver value for our shareholders, customers, and communities—starting today, and over the long-term,” said Tim Spence, Chairman, CEO, and President of Fifth Third Bank.
The deal combines Fifth Third’s retail and digital strengths with Comerica’s middle-market presence in the Southeast, Texas, and California, with Curt Farmer as Vice Chair and Peter Sefzik leading Wealth & Asset Management. “Joining with Fifth Third—with its strengths in retail, payments and digital—allows us to build on our leading commercial franchise,” said Farmer, Comerica’s Chairman, President, and CEO.
