Top bank M&A deals of 2018
Bank M&A was sporadic in 2018.
Three of the biggest bank deals — Fifth Third Bancorp’s agreement to buy MB Financial, Cadence Bancorp’s deal for State Bank Financial and Independent Bank Group’s deal for Guaranty Bancorp — were announced within a nine-day period in the spring.
The remaining seven deals in the top 10 were spread throughout the year.
Overall, there were 253 deals announced as of Dec. 7, based on data compiled by Keefe, Bruyette & Woods and S&P Global Market Intelligence — virtually the same number as last year.
The combined value of all deals as of early December — $28.6 billion — was 8% higher than the total for the full 2017. However, the Fifth Third-MB Financial deal accounted for 16% of the $28.6 billion.
An underlying theme involved sellers in high-growth markets finding buyers willing to pay healthy premiums for market share.
The average premium in 2018 was 172% of the seller’s tangible book value, an increase from 165% in 2017.
Only two deals in the top 10 occurred in one state — Colorado.
Here is a breakdown of the biggest bank acquisitions of 2018.