Bank M&A Deal Tracker: July accounts for 5 of the 20 largest deals in 2024

US bank M&A kickstarted the third quarter with five of the 20 largest deals so far in 2024 announced in July. It falls behind May, which recorded six of the largest deals — the most of any month so far this year.

On July 29, Tupelo, Miss.-based Renasant Corp. announced the acquisition of Hattiesburg, Miss.-based The First Bancshares Inc. for $1.18 billion. The transaction, with a deal value-to-tangible common equity ratio of 184.0%, marks the third-largest and the second-most expensive US bank M&A deal announced in 2024, according to S&P Global Market Intelligence data.

Meanwhile, Wheeling, W.Va.-based WesBanco Inc.'s acquisition of Defiance, Ohio-based Premier Financial Corp. for $959.0 million announced on July 26 was the fourth-largest deal announced so far in 2024. The transaction marks Wesbanco's return to M&A after an almost five-year absence following its acquisition of Bowie, Md.-based Old Line Bancshares Inc. in November 2019.

Most expensive US bank deal

Jasper, Ind.-based German American Bancorp Inc.'s planned acquisition of Whitehall, Ohio-based Heartland BancCorp, announced on July 29, was the most expensive US bank M&A deal announced so far in 2024 with a deal value-to-tangible common equity ratio of 217.5%. The $347.0 million transaction also was the sixth-largest deal announced this year.

Banks deals by region, state

Twenty-six banks in the Midwest have so far been targeted in 2024, making it the most-targeted region. Trailing behind are the Southeast and West with 13 target banks each.

Illinois has overtaken Washington to be the most-targeted state with six target banks, compared to the Evergreen state on five.

On July 24, Gettysburg, Pa.-based ACNB Corp. announced the acquisition of York, Pa.-based Traditions Bancorp Inc. for $87.1 million, marking the first deal in this year in which a Pennsylvania bank was the target.

Meanwhile, Sparta, Mich.-based ChoiceOne Financial Services Inc.'s announced acquisition of Fenton, Mich.-based Fentura Financial Inc. for $180.4 million on July 25 marked the 11th-largest US bank M&A deal announced since the beginning of 2024 and is also the third bank targeted in Michigan, which ties it with California, Iowa and Kansas as the fourth-most targeted states in the country.

US bank M&A statistics

Altogether, 67 bank deals worth an aggregate deal value of $9.25 billion were announced year to date through July 31, surpassing the total deal value of $8.95 billion and $4.15 billion from the 156 and 100 bank deal announcements in 2022 and 2023, respectively.

– Access a list of pending and completed M&A deals announced since Jan. 1, 2014. – Access the S&P Capital IQ Pro M&A summary page for US financial institutions. – Read more M&A news.

The recent rally in US bank stocks is paving the way for increased M&A dialogue across the industry.

Glacier Bancorp Inc. is considering acquiring banks with assets of up to $5 billion, as President and CEO Randall Chesler anticipates an uptick in bank M&A if the stock price increase holds for regional banks.

Serial acquirer Community Financial System Inc. is also looking for smaller banks that have strong balance sheets and liquidity, as well as targets that can help increase its footprint. President and CEO Dimitar Karaivanov said during a conference call that the bank prefers cash M&A to balance risk, as opposed to sellers that tend to want more stock in the deal structure.

Meanwhile, other banks like BOK Financial Corp. and Stellar Bancorp Inc. remain selective in choosing targets, citing a shortage of sellers that fit their profile.