The standalone chapter for Cadence Bancorp has officially closed following the completion of its strategic combination with Huntington Bancshares. This merger creates a formidable new entity within the U.S. banking sector, ranking among the top ten with consolidated assets exceeding $275 billion. The deal was finalized after Cadence delivered a robust set of fourth-quarter operational results.
- Exchange Ratio: 2.475 shares of Huntington for each Cadence share.
- Adjusted Q4 Earnings Per Share: $0.85 (Consensus Estimate: $0.79).
- Pro Forma Combined Assets: Over $275 billion.
- Fourth Quarter Net Interest Margin (NIM): 3.55%.
A Final Quarter of Outperformance
Just prior to the merger’s completion, Cadence Bancorp released its Q4 2025 financials on January 22, showcasing strength across key metrics. The company posted adjusted earnings of $0.85 per share, comfortably surpassing the $0.79 per share forecast by market analysts. Quarterly revenue also exceeded expectations, coming in at $528.41 million.
A notable highlight was the expansion of the net interest margin to 3.55%. This 9-basis-point increase from the previous quarter was primarily driven by growth in the loan portfolio and lower funding costs. Market observers now question whether this operational momentum can be sustained within the newly formed banking heavyweight.
Solid Foundations and Shareholder Returns
Despite the ongoing integration, Cadence maintained a stable capital position. Its Common Equity Tier 1 (CET1) ratio stood at a solid 11.7% at year-end. Furthermore, the Board of Directors confirmed on January 20 the quarterly cash dividend of $0.28 per common share.
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Shareholders of record as of January 30 will receive this payment, along with a dividend of $0.34375 per preferred share, on February 20, 2026. With the merger now effective, all Cadence shares have been converted into Huntington stock according to the predetermined exchange ratio.
Strategic Rationale and Full-Year Performance
The transaction unites Cadence’s significant footprint across the Southern U.S. and Texas with Huntington’s extensive national network. After receiving regulatory approval from the Office of the Comptroller of the Currency (OCC) in late December, the focus has shifted to migrating onto a unified operational platform.
For the full 2025 fiscal year, Cadence reported an adjusted net income of $582.2 million, representing a 13.1% year-over-year increase. The tangible book value per share rose to $23.69 by the end of the period, underscoring the underlying value transferred to the new combined institution.
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