Slideshow Bank Merger Hot Spots

Published
  • November 30 2015, 7:02pm EST
6 Images Total

M&A has taken off in 2015, especially in five states that account for more than a fifth of all activity. Here are the states with the most sellers, based on data compiled by KBW through Nov. 30.

Illinois (22 banks)

Assets sold: $6.1 billion

Average premium to tangible book value: 160.1%

Illinois, Chicago in particular, is known for housing a multitude of small banks. American Chartered Bancorp, with $2.8 billion in assets, is the largest bank in the state to sell itself this year.

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Texas (20 banks)

Assets sold: $5.4 billion

Average premium to TBV: 193%

Low oil prices have put a damper on credit and earnings at a number of Texas banks. Those issues are not curbing deal pricing; banks in the state are selling at very healthy premiums.


California (19 banks)

Assets sold: $37.6 billion

Average premium to TBV: 145%

California is home to some of this year's biggest deals, including the sales of City National in Los Angeles and Bridge Capital Holdings in San Jose. Hanmi Financial has also floated a $1.6 billion offer to merge with BBCN Bancorp.


Florida (19 banks)

Assets sold: $1.2 billion

Average premium to TBV: 146.1%

Florida has bounced back economically, creating a new round of consolidation in the state. Most sellers have been small, with average assets of $441 million, but located in strategic markets like Orlando and the Tampa Bay area.

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Pennsylvania (13 banks)

Assets sold: $15.5 billion

Average premium to TBV: 129.8%

Premiums in Pennsylvania have been lower than those in other states with intensive M&A, largely due to slower historical growth trends. Big sellers have included the $9.6 billion-asset National Penn Bancshares and the $3 billion-asset Metro Bancorp.