Huntington Bancshares Incorporated and TCF Financial Corporation Announce Antitrust Approval for Proposed Merger

Strategic Insights -

Huntington Bancshares Incorporated and TCF Financial Corporation have received approval from the Board of Governors of the Federal Reserve System (the "Federal Reserve Board") and the Office of the Comptroller of the Currency, with input from the United States Department of Justice's Antitrust Division (the "DOJ"), for their proposed merger. As part of the agreement, TCF National Bank has entered into a definitive purchase and assumption agreement to sell 14 branches in Michigan to Horizon Bank, a subsidiary of Horizon Bancorp, Inc. The branches, with approximately $975 million in total deposits and approximately $275 million in total loans, will be divested to satisfy commitments to the DOJ and the Federal Reserve Board in connection with the proposed acquisition of TCF by Huntington.

Key Takeaways:

  • The proposed merger of Huntington Bancshares Incorporated and TCF Financial Corporation has received regulatory approval from the Federal Reserve Board and the Office of the Comptroller of the Currency, with input from the DOJ.
  • As part of the agreement, TCF National Bank has entered into a definitive purchase and assumption agreement to sell 14 branches in Michigan to Horizon Bank, a subsidiary of Horizon Bancorp, Inc.
  • The branches, with approximately $975 million in total deposits and approximately $275 million in total loans, will be divested to satisfy commitments to the DOJ and the Federal Reserve Board in connection with the proposed acquisition of TCF by Huntington.
  • The merger is expected to be completed on or around June 9, 2021, subject to the satisfaction or waiver of the remaining customary closing conditions set forth in the merger agreement between Huntington and TCF.
  • The divestiture of the 14 branches is expected to be completed by the end of the 2021 third quarter, subject to regulatory approval and other customary closing conditions, including completion of the merger of Huntington and TCF.
  • TCF will divest 14 branches located in Michigan, including Au Gres, Big Rapids, Cadillac, Charlevoix, Corunna, Fremont, Gaylord, Grayling, Houghton Lake, McBain, Midland, Owosso, and Standish.
  • The proposed merger has been approved, but the transaction is subject to further conditions, including the satisfaction of customary closing conditions and regulatory approval.

Statistics:

  • Total deposits for the 14 branches to be divested by TCF National Bank: approximately $975 million
  • Total loans for the 14 branches to be divested by TCF National Bank: approximately $275 million
  • Total number of branches to be divested by TCF National Bank: 14
  • Total number of banking centers in Michigan operated by TCF National Bank: 475
  • Total assets of TCF Financial Corporation at March 31, 2021: $49 billion
  • Total assets of TCF National Bank at March 31, 2021: $49 billion

Sources:

  • Huntington Bancshares Incorporated (HBAN) and TCF Financial Corporation (TCF) press release, dated May 25, 2021
  • Huntington Bancshares Incorporated (HBAN) Current Report on Form 8-K, dated May 25, 2021