National Financial Services M&A Transaction Perspective
Bank mergers and acquisitions (M&A) activity has been relatively steady, with a total of 71 transactions announced through June 30, 2025. That is an increase from the 59 transactions announced through
June 30, 2024. Bank M&A activity for the balance of 2025 will likely continue gaining momentum as bank stock prices have improved significantly in the second quarter of 2025. However, lingering pressure from stubbornly high inflation, rising tariff-driven costs, and elevated policy uncertainty may dampen overall M&A activity in the sector.
Pricing for whole bank and thrift transactions has seen an increase through June 2025, with an average price to tangible book value (P/TBV) of 147% in the quarter compared to 123% through June 2024 and 125% in 2024 as a whole.
Stock prices for banks have recovered significant ground after the sharp drop seen in bank stocks and the broader stock market from trade uncertainties earlier in the year. The Dow Jones U.S. Banks Index (DJUSBK) was up 30.81% at $724.77 for the 12-month period ended June 30, 2025, while the KBW Nasdaq Bank Index (BKX) was up 33.64% at $139.65 in the same period.
West Region
In the West Region, there were 10 announced transactions through June 2025, which is the same as the 10 transactions announced through June 2024. Based on transactions with pricing data available, P/TBV averaged 89% in the West Region in 2024. Based on the three transactions with pricing data available, P/TBV averaged 151% in the West Region through June 2025.
Mid-Atlantic Region
In the Mid-Atlantic Region, there were two announced transactions through June 2025, which is less than the four transactions announced through June 2024. Based on transactions with pricing data available, P/TBV averaged 102% in the Mid-Atlantic Region in 2024. Based on the two transactions with pricing data available, P/TBV averaged 115% in the Mid-Atlantic Region through June 2025.
Midwest Region
In the Midwest Region, there were 27 announced transactions through June 2025, which is greater than the 19 transactions announced through June 2024. Based on transactions with pricing data available, P/TBV averaged 142% in the Midwest Region in 2024. Based on the three transactions with pricing data available, P/TBV averaged 144% in the Midwest Region through June 2025.
Northeast Region
In the Northeast Region, there were six announced transactions through June 2025, which is greater than the two transactions announced through June 2024. Based on transactions with pricing data available, P/TBV averaged 137% in the Northeast Region in 2024. Based on the three transactions with pricing data available, P/TBV averaged 103% in the Northeast Region through June 2025.
Southeast Region
In the Southeast Region, there were 14 announced transactions through June 2025, which is one more than the 13 transactions announced through June 2024. Based on transactions with pricing data available, P/TBV averaged 143% in the Southeast Region in 2024. Based on the nine transactions with pricing data available, P/TBV averaged 170% in the Southeast Region through June 2025.
Southwest Region
In the Southwest Region, there were 12 announced transactions through June 2025, which is greater than the 11 transactions announced through June 2024. Based on transactions with pricing data available, P/TBV averaged 142% in the Southwest Region in 2024. Based on the two transactions with pricing data available, P/TBV averaged 150% in the Southwest Region through June 2025.
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