20 July 2021USA analysis

M&T Bank to merge with People’s United to create 11th largest bank in the US

M&T Bank Corporation is set to merge with People's United Financial in a deal that will create the 11th largest bank in the US, with assets of around $200 billion.

The combined entity will take the name M&T Bank and will operate across some of the most populated and attractive banking markets in the US. People's United's current headquarters in Bridgeport, Connecticut will become the New England regional headquarters for M&T.

M&T and People's United expect the transaction to be completed promptly once they have obtained necessary regulatory approvals and have satisfied certain other closing conditions. Both firms have received the necessary approvals from their shareholders.

René Jones, chairman and chief executive officer of M&T, who will lead the combined company in the same capacity, said: "The approval underscores the confidence that both companies' shareholders have in the strategic rationale and the financial benefits of the merger."

Jack Barnes, chairman and chief executive officer at People's United, said: "We are excited about what the future holds and look forward to the joining of two market-leading financial institutions to strengthen our ability to deliver value-added financial solutions and advice to a greater number of individuals and businesses."