Tuesday, October 7, 2025

First Horizon Shares Jump 32% As TD Announces US$13.4 Billion All-Cash Acquisition Deal

TD Bank Group (TSX: TD) announced this morning the definitive agreement to acquire First Horizon Corporation (NYSE: FHN). The all-cash transaction is reportedly valued at US$13.4 billion.

The acquisition price equates to US$25.00 per First Horizon common share. While the US bank last traded at US$18.25, its shares jumped by more than 32% pre-market today–trading close to the acquisition price per share.

Source: CNBC

The company said the transaction price represents 9.8 times First Horizon’s estimated earnings in 2023 and 2.1 times its estimated book value. The latter’s market capitalization is estimated at 9.87 billion, as of this writing.

“First Horizon is a great bank and a terrific strategic fit for TD,” said TD Bank Group CEO Bharat Masrani. “It provides TD with immediate presence and scale in highly attractive adjacent markets in the U.S. with significant opportunity for future growth across the Southeast.”

First Horizon, headquartered in Tennessee, is the state’s largest bank. It is reported to have US$89 billion worth of assets as of December 31, 2021, and currently operates 412 branches across 11 US states in the southeast.

The TD Bank Group’s American subsidiary, TD Bank, holds its headquarters in New Jersey. It currently operates in fifteen US states, mostly on the east coast, and ranks 11th largest bank by assets in the country.

The acquisition is estimated to place TD Bank as a top 6 US bank with a total of US$614 billion in assets and a network of 1,560 retail locations across 22 states.

TD Bank CEO and TD Bank Group Head of US Retail Leo Salom is expected to lead the resulting combination of the two American financial corporations. Meanwhile, First Horizon CEO Bryan Jordan is expected to join TD Bank Group as vice chairman and TD Bank as the chairman of the board.

The transaction is expected to close on TD Bank Group’s fiscal Q1 2023, subject to customary closing conditions and the approval of First Horizon shareholders.

TD Bank Group last traded at $105.68 on the TSX.


Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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