Fifth Third to acquire Comerica in $10.9 billion deal, becoming 9th largest bank

On Monday, October 6, Fifth Third Bancorp announced that it will acquire fellow regional bank Comerica for around $10.9 billion in an all-stock transaction.

With this deal, Fifth Third will become the ninth-largest bank in the United States. This will result in roughly $288 billion in assets, significantly expanding its footprint.

The merger is also planned to create density in high-growth areas, and the new bank is present in 17 of the 20 fastest-growing areas in the U.S., as well as in key areas within the Southeast, Texas, and California.

Fifth Third CEO Tim Spence explained the significance in an official statement, stating, "This combination marks a pivotal moment for Fifth Third as we accelerate our strategy to build density in high-growth markets and deepen our commercial capabilities.”

The market reacted swiftly to the news. The shares of Comerica soar more than 11% in the premarket trade, which portrays a high value of the deal to its shareholders. On the contrary, the stock of Fifth Third fell by approximately 3%, which is customary for the acquiring organisation in large transactions.

Comerica CEO Curt Farmer approved the merger, stating that the union with Fifth Third would enable the bank to expand its top commercial franchise and serve its customers with greater capabilities.

Analysts believe that the deal, set to be finalised by the end of the first quarter of 2026, will catalyse numerous mergers to come, particularly given the anticipation of a more accommodative regulatory environment under the current administration, which is expected to facilitate bank consolidation.