Another multi-billion dollar banking merger just arrived today

Another bank is being gobbled up.

Huntington Bancshares (HBAN) has become the latest financial company to acquire a smaller bank by purchasing all shares of Cadence Bank (CADE) for $7.4 billion. Cadence shares rose about 3% on Monday, while Huntington’s stock fell 4%. The KBW Nasdaq regional banking index fell recently on a broadly upbeat day for stocks.

Huntington joins Comerica (CMA), PNC Financial Services Group (PNC), and Pinnacle Financial Partners (PNFP) on the list of recent multi-billion-dollar financial services deals. Comerica was bought by Fifth Third, PNC bought FirstBank, and Pinnacle acquired Synovus.

The Huntington-Cadence deal, expected to close in the first quarter of 2026, gives Cadence investors 2,475 shares of Huntington stock for every share they own, valuing Cadence shares at $39.77 based on Huntington’s close on Friday. That’s a 9% premium to Cadence’s price as of expiration last week.

Ohio-based Huntington said the merger with Cadence, based in Houston and Tupelo, Miss., would give it significant deposit market shares in Dallas, Houston and all of Texas. Additionally, Huntington will become the largest bank in Mississippi and a top 10 bank in both Alabama and Arkansas by deposits.

In total, Huntington will have locations in 21 states and 12 of the 25 largest metropolitan statistical areas in the United States. Chief Executive Steve Steinor said the move was an “important next stage of growth” for the bank.

Cadence Bank shares are up 10% year to date. Huntington Bancshares shares are down 4% for the year.