Another US regional bank First Horizon’s stock tumbles after merger collapses

New York: First Horizon and TD Bank have called off a $13 billion deal that would have formed Americas sixth-largest bank, adding to the turmoil sweeping the countrys regional lenders, a media report said.

Caught up in the worst banking crisis since 2008, First Horizon’s share price has plunged about 40 percent over the past couple months, falling well below the $25 per share that TD offered when the takeover was announced in February 2022, CNN reported.

The stock closed at $15.05 a share on Wednesday and plunged another 40 percent in morning trading on Thursday after the deal was mutually abandoned by the banks, the report said.

First Horizon is a regional lender in the southeast United States and would have helped Canada’s TD expand south of the border. But regional banks have been losing the confidence of investors and customers since the March collapse of Silicon Valley Bank and Signature Bank.