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PNC - PNC Financial Services Inc News Story

$178.33 -4.1  -2.3%

Last Trade - 18/06/21

Sector
Financials
Size
Large Cap
Market Cap £54.87bn
Enterprise Value £72.32bn
Revenue £12.16bn
Position in Universe 163rd / 6927

BREAKINGVIEWS-Capital Calls: U.S. bank mergers

Mon 26th April, 2021 2:55pm
(The author is a Reuters Breakingviews columnist.  The opinions
expressed are their own.)
    WASHINGTON, April 26 (Reuters Breakingviews) - Concise
insights on global finance.
 
    -----------------------------------------------
DEAL COPS. New York Community Bancorp’s  NYCB.N  $2.6 billion
acquisition https://ir.mynycb.com/news-and-events/news-releases/press-release-details/2021/New-York-Community-Bancorp-Inc.-To-Acquire-Flagstar-Bancorp-Inc.-In-An-All-Stock-Strategic-Merger/default.aspx
 of Flagstar Bancorp  FBC.N  isn’t usually the kind of deal that
draws scrutiny in Washington. But Senate Banking Chairman
Sherrod Brown is part of a group of Democrats who want
regulators to crack down on consolidation. That gives pause to
the slew of regional banks that have been in M&A mode. 
    These deals often make financial sense  urn:newsml:reuters.com:*:nL4N2MJ2O8. Bancorp
and Flagstar are among the medium-sized firms that have
struggled in the near-zero interest rate environment. The
combined company, with $87 billion in assets, would help them
better compete against giants like JPMorgan  JPM.N  or fintech
upstarts. 
    That’s why there has been a rash of tie-ups after a pause
post-2008 financial crisis. Last year, First Citizens BancShares
 FCNCA.O  announced a $2.2 billion acquisition of CIT Group
 CIT.N  while PNC Financial Services  PNC.N  is buying the U.S.
business of Spain’s BBVA  BBVA.MC  for $11.6 billion
 urn:newsml:reuters.com:*:nL8N2KF2T2.
    Last September, the Justice Department under Donald Trump
signaled it could loosen bank merger reviews. With Democrats now
in charge  urn:newsml:reuters.com:*:nL1N2LT1I4, regional lenders can expect more time
under the microscope. (By Gina Chon)

    On Twitter http://twitter.com/breakingviews
    
    Earlier in Capital Calls:
    
    Nestlé reaches for the vitamin pills  urn:newsml:reuters.com:*:nL4N2MJ2BP 
    When rebranding turns into Abrdn  urn:newsml:reuters.com:*:nL8N2MJ2CO
    Westpac stumbles toward true north  urn:newsml:reuters.com:*:nL1N2MJ050
    The $2 trln toybox  urn:newsml:reuters.com:*:nL1N2MG1KD
    Poland’s gaming giant pushes investors’ buttons  urn:newsml:reuters.com:*:nL8N2MG2WU

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| Editing by Rob Cox and Amanda Gomez)
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