US President Trump’s decision to give
significant relief to banks with under $100 billion in assets
has boosted small bank consolidations across the US.
reported by IFLR in May the Senate Bill 2155, or the
Economic Growth, Regulatory Relief and Consumer Protection Act,
contained rule changes that had the potential to increase
M&A activity as the banking industry looked to take
advantage of its increased scope for growth and consolidation,
suggest sources in the US banking sector.
Less than a year later, the creation of new categories for
banking institutions with less than $100 or $250 billion in
assets is stimulating consolidation amongst smaller banks that
would not have considered it previously.
Fifth Third Bank stock slumped after its $4.7 billion merger
with MB FinancialFor instance, a recent merger of equals
between TCF Bank and Chemical Financial created a new
institution with around $45 billion...