US: BB&T to buy SunTrust in biggest bank deal in a decade

BBT has agreed to acquire SunTrust Banks STI for $66 billion in an all-stock merger reported The Wall Street Journal. The transaction represents the biggest bank deal since the 2007-2009 financial crisis

US regional lender BB&T said it will buy rival SunTrust Banks for about $28 billion in stock. The banks hope to close the deal later this year. The timetable would have been improbable before the administration of President Donald Trump began easing crisis-era regulations, which had restricted expansion and boosted scrutiny of banks.

The BB&T-SunTrust announcement comes as a merger is already underway for Fidelity Bank and Ameris Bank. Fidelity has three Coweta locations and is merging with Ameris, which is based at Moultrie in south Georgia.

The merger of BB&T and SunTrust will create the sixth-largest U.S. bank holding company, according to a joint press release. According to the press release, the merger is expected to create double-digit earnings per share for stockholders by accretion by 2021.

The merger is expected to close in the fourth quarter of 2019, subject to satisfaction of customary closing conditions, including receipt of regulatory approvals and approval by the shareholders of each company.