Huntington Bancshares and Cadence Bank Secure OCC Approval for Merger, Paving Way for Consolidation
Huntington Bancshares Incorporated (Nasdaq: HBAN) and Cadence Bank (NYSE: CADE) announced a major milestone in their planned consolidation, confirming the receipt of necessary regulatory approval from the Office of the Comptroller of the Currency (OCC) on December 22, 2025. This approval is a crucial prerequisite for the completion of the merger, which aims to create a larger, more competitive regional banking institution.
Regulatory Green Light Clears Path for Integration
The OCC’s decision specifically approves the merger of Cadence Bank with and into The Huntington National Bank, a subsidiary of Huntington Bancshares. The Huntington National Bank will operate as the surviving bank following the transaction. The joint announcement, originating from Columbus, Ohio; Houston, Texas; and Tupelo, Mississippi, underscores the collaborative nature of the final stages of the deal.
For large-scale bank mergers, regulatory approval from agencies like the OCC is mandatory. The OCC is responsible for chartering, regulating, and supervising all national banks and federal savings associations. Its approval signifies that the regulator is satisfied that the combined entity will meet capital requirements, maintain sound operational practices, and serve the public interest effectively.
Strategic Rationale and Expected Impact
The successful completion of the regulatory review process marks a significant step toward realizing the strategic benefits anticipated by both institutions. While specific financial metrics or synergy targets were not detailed in the announcement, bank mergers of this scale are typically driven by the pursuit of enhanced market share, cost efficiencies, and expanded product offerings.
The consolidation is expected to strengthen Huntington’s footprint, particularly by integrating Cadence’s operational capabilities and customer base. The combined entity is poised to leverage greater scale to invest in technology, improve operational efficiencies, and potentially offer more competitive services to commercial and retail customers across an expanded geographic area.
The receipt of OCC approval is a standard but essential hurdle in the bank merger process, validating the financial stability and compliance readiness of the proposed combined institution. It allows management teams to finalize integration plans and move toward the closing date.
The merger’s progression is closely watched by investors and analysts, as successful integration is key to unlocking the projected value of the deal. The focus now shifts to meeting any remaining closing conditions and executing the complex task of merging technological platforms, branch networks, and employee structures.
Next Steps in the Consolidation
With the OCC approval secured, Huntington and Cadence must now ensure all other customary closing conditions are met. Although the announcement did not specify the exact closing date, the regulatory clearance suggests the transaction is on track for completion shortly after the December 2025 announcement. The finalization of the merger will culminate in the full integration of Cadence Bank into The Huntington National Bank, solidifying the new structure of the combined banking giant.
The successful navigation of the regulatory landscape provides certainty for shareholders of both HBAN and CADE, reducing execution risk associated with the deal. This development is generally viewed positively, as regulatory certainty often stabilizes stock performance in the lead-up to a merger closing.
