U.S. bank M&A activity has continued its climb back to pre-pandemic levels in the second half of 2021, as nine deals were announced through mid-July.
A total of 106 deals have been announced year-to-date through July 16, compared to 55 over the same period last year.
Total deal value has soared in 2021 to $33.92 billion compared to $27.84 billion for all of 2020. The median deal value-to-tangible common equity ratio for deals announced in 2021 has increased to 152.5%, compared to 134.8% for 2020.
Of the 20 largest U.S. bank M&A deals announced since Jan. 1, 2020, two were announced in July.
On July 13, Pittsburgh-based F.N.B. Corp. announced that it would acquire Baltimore-based Howard Bancorp Inc. for $421.7 million at a deal value-to-tangible equity ratio of 161.1%
Meanwhile, after June's blitz where Tennessee saw three deals with a combined deal value of $277.9 million announced within four days, this month saw the largest Tennessee-based deal announced since January 2020.
On July 14, Blairsville, Ga.-based United Community Banks Inc. announced that it would acquire Brentwood, Tenn.-based Reliant Bancorp Inc. for $518.4 million at a deal value-to-tangible common equity ratio of 191.2%, making the deal the eighth-most expensive since Jan. 1, 2020.
The deal was United's second announcement in under two months, coming on the heels of its announced acquisition of Cornelius, N.C.-based Aquesta Financial Holdings Inc. in May. The Aquesta deal is the fourth most expensive bank and thrift deal announced since 2020.
Click here for a list of pending and completed M&A deals announced since Jan. 1, 2011.