U.S. bank M&A continued to climb steadily with 12 deals announced in May.
The activity brought the total number of deal announcements up to 70 in 2021, year-to-date through June 1, compared to 44 during the same period in 2020.
Total deal value for the 2021 deals increased to $28.86 billion from $6.53 billion during the same period in 2020. The deals announced this year are already worth more than all the deals announced in 2020. The median deal value-to-tangible common equity ratio for deals announced in 2021 increased to 152.5%, compared to 134.8% for all of 2020.
Of the 20 largest U.S. bank M&A deals announced since Jan. 1, 2020, three were announced since May 1.
On June 1, Evansville, Ind.-based Old National Bancorp and Chicago-based First Midwest Bancorp Inc. announced an all-stock merger of equals worth $2.47 billion. The deal is the fourth-largest merger of equals and seventh-largest U.S. bank deal of any type announced since Jan. 1, 2020. The transaction is also the largest deal announcement in the state of Illinois since 2018.
On May 18, Kalispell, Mont.-based Glacier Bancorp Inc. announced that it would acquire American Fork, Utah-based Altabancorp for $934.6 million at a deal value-to-tangible common equity ratio of 288.3%, easily making it the most expensive deal since the beginning of 2020. WSFS Financial Corp.'s purchase of Bryn Mawr Bank Corp. is the second-most expensive deal since 2020 with a 228.8% deal value-to-tangible common equity ratio.
Click here for a list of pending and completed M&A deals announced since Jan. 1, 2011.