Comerica (CMA) Hits New All-Time High on $11-Billion Fifth Third Merger

We recently published 10 Stocks Investors Are Gobbling Up. Comerica Inc. (NYSE:CMA) is one of the top performers on Monday.

Comerica extended its rally to a fourth straight day on Monday to hit a new all-time high as investors gobbled up shares following news that it was being acquired by Fifth Third Bancorp for $10.9 billion.

During the session, Comerica Inc. (NYSE:CMA) shares propelled to a record high of $83.22 before paring gains to finish the day at $80.20.

In a joint statement, Comerica Inc. (NYSE:CMA) and Fifth Third said they will merge in an all-stock transaction, under which CMA shareholders will be able to receive 1.8663 shares in Fifth Third, representing $82.88 per share and a 20-percent premium to CMA’s 10-day volume-weighted average stock price.

The transaction is expected to create the 9th largest bank in the US with approximately $288 billion in assets.

At close, Fifth Third shareholders will own approximately 73 percent, and Comerica Inc. (NYSE:CMA) shareholders will own approximately 27 percent of the combined company.

In terms of leadership, Comerica Inc. (NYSE:CMA) said its chairman, president, and CEO, Curtis Farmer, would join the combined company as vice chairman. He will also join the board of directors upon retirement.

The transaction is expected to close in the first quarter of 2026, subject to regulatory approvals.

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Disclosure: None. This article is originally published at Insider Monkey.