WaFd slips after unveiling $3.9 billion reverse merger with EverBank

WaFd

08/09/2026 19:24

** Regional lender WaFd's WAFD.O shares fall 6.5% to $33.95
** WAFD late Monday unveiled a $3.9 billion reverse merger with Florida-based EverBank Financial, creating a combined U.S. bank with roughly $75 billion in assets
** For WAFD shareholders, deal expected to boost 2027 profit by roughly 29% and pave way for return on tangible common equity — a closely watched profitability target — of roughly 15%
** "Near-term investor focus will likely be on the sustainability of this improved outlook, and we recognize that 'deal stocks' typically do not get full multiple credit on day 1 due to risks and noise related to the merger/integration," says brokerage KBW
** After the deal closes, WAFD will change name to EverBank Financial and trade on Nasdaq under the symbol "EVBK"
** Deal provides the private-equity sponsors of EverBank a path to public listing and potential eventual exit in coming years
** As of last close, WAFD shares up 13.3% YTD

 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com;))