Confused by Recent Bank Mergers of Equals? Look at Truist to Better Understand

The market has met several noteworthy mergers of equals (MOEs) in the banking industry with skepticism this year, questioning whether the deals will really provide more value long-term than each of the banks could have created on their own. In April, BancorpSouth and Cadence Bancorporation said they would partner to create a $44 billion asset bank in the South. About a week later, Webster Financial and Sterling Bancorp said they would join hands in another MOE that would create a $63 billion asset bank in the Northeast.