Fifth Third, Comerica Merger Creates $100B Wealth, Asset Management Business

Core Insights - U.S. banks Fifth Third and Comerica are merging to form the ninth-largest bank in the country, establishing a wealth and asset division managing over $100 billion in assets [1][2] Group 1: Merger Details - Fifth Third Bank will acquire Comerica in an all-stock transaction valued at $10.9 billion, pending shareholder and regulatory approval [2] - The combined entity will have $288 billion in assets, $224 billion in deposits, and $174 billion in loans [2][8] - Comerica shareholders will receive 1.8663 Fifth Third shares for each Comerica share, resulting in Fifth Third shareholders owning approximately 73% of the new company [8] Group 2: Strategic Focus - The merger aims to enhance Fifth Third's asset and wealth management division, which is viewed as a high-growth recurring revenue engine alongside commercial payments, generating $1 billion [3][4] - The wealth and asset management division will feature a comprehensive wealth platform, including a full-service private bank and RIA platform, with $100 billion in assets under management [6] Group 3: Leadership and Market Expansion - Comerica's Chief Banking Officer, Peter Sfezik, will lead the new Asset and Wealth Management business, while Comerica's CEO, Curt Farmer, will serve as vice chair [4][5] - Post-merger, Fifth Third will operate in 17 of the fastest-growing U.S. markets, focusing on the Southeast, Texas, Arizona, and California, with plans to open 150 financial centers in Texas by 2029 [7]