M&T Bank is set to acquire People’s United Financial in an all-stock deal valued at more than $7 billion, according to a person familiar with the matter.
The deal could be announced as soon as Monday morning, said the person, who asked to not be identified because the matter isn’t public.
Buffalo, N.Y.-based M&T’s Chief Executive Rene Jones will lead the combined company, which will have about $200 billion in assets, the person said.
Representatives for M&T and Bridgeport, Conn.-based People’s United declined to comment.
The tie-up between M&T and People’s United marks the latest in a string of recent deals among regional banks as they seek size to counter low interest rates, tepid loan demand and the need for greater technology spending.
Huntington Bancshares agreed to buy TCF Financial for about $6 billion in December, while PNC Financial Services Group said in November it will pay $11.6 billion for Banco Bilbao Vizcaya Argentaria SA’s banking operations in the U.S.
M&T shares climbed 18% this year and People’s United jumped 21%, both outperforming the 9.6% gain in the Standard and Poor’s 500 Financials Index.
