BB&T-SunTrust Merger Serves As A Wake-Up-Call To Regional Banks

|
About: Truist Financial Corporation (TFC), STI
by: Richard J. Parsons
This article is exclusive for subscribers.
Summary

The BB&T - SunTrust merger checks two boxes: Expense Savings and Scale.

But this merger has broader implications than near-term EPS improvement.

The merger addresses two forces transforming the banking industry: A looming Talent Crisis and a radical shift in how banks use Big Data and technology.

Other regional banks should view this merger as a wake-up call.  More mergers are inevitable because the banking industry has a serious talent challenge on the horizon.

Purpose

In this post I will explain why the merger between BB&T Corporation (BBT) and SunTrust Banks Inc. (STI) is driven by two primary forces and why it serves as a