This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

10 Regional Bank Predators

Stocks in this article: HCBK NYB CVBF NAL WFSL CFR BOH

NEW YORK ( TheStreet) -- The banking industry is coming out of its summer doldrums and the consolidation of regional players is likely to accelerate.

There are bargains out there for acquisitive regional banks, and with an increased regulatory burden there are plenty of reasons for some banks to throw in the towel -- providing they get a decent price. In addition, stronger players continue to ponder government-assisted acquisitions of failed banks.

First Niagara Financial (FNFG) of Buffalo, N.Y. agreed to purchase NewAlliance Bancshares (NAL) of New Haven, Conn. for either $14.09 in cash or 1.10 First Niagara shares for each NewAlliance share, . This represented a 24% premium based on NewAlliance's Wednesday closing price of $11.36.

New Alliance's CEO Peyton Patterson also pointed out that NewAlliance's shareholders who accept First Niagara shares would "more than double the dividends earned."

Following the trend for other recent bank merger deals, at least two law firms were "investigating" the transactions, as some NewAlliance shareholders were looking for a better price.

The deal marked the third recent major expansion First Niagara into neighboring markets, following the acquisition of Harleysville National of Harleysville, Penn. which was acquired on April 9 and the purchase of 57 National City Bank branches in western Pennsylvania in September 2009..

Ten More Strong Regional Banks

Using second-quarter data provided by SNL Financial, we pared down the list of 83 publicly traded domestic bank and thrift holding companies with total assets ranging from $5 billion to $100 billion, by excluding companies with outstanding preferred shares held by the U.S. Treasury for bailout money received via the Troubled Assets Relief Program, or TARP.

Then, excluding First Niagara - which probably needs a breather to integrate all of its recent acquisitions -- and also Northern Trust (NTRS) of Chicago, which is mainly focused on asset management and other fee-based services, the following ten holding companies posted the best returns on assets during the first half of 2010:

1 of 11

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs