Capital One and Discover Eye Integration Pending Merger Approval.
Capital One Financial Corporation and Discover Financial Services announced today that they have entered into a definitive agreement to merge, creating a combined company with approximately $440 billion in assets and $165 billion in deposits. The transaction is subject to regulatory approvals and other customary closing conditions and is expected to close in the second half of 2023.
Key Benefits of the Merger
- Increased scale and diversification to better serve customers
- Enhanced product and service offerings
- Improved efficiency and cost optimization
- Increased shareholder value
Integration plans
The combined company will operate under the Capital One brand and will be headquartered in McLean, Virginia. Discover’s CEO Roger Hochschild will become the Vice Chairman of Capital One and a member of the company’s board of directors. Capital One’s CEO Rich Fairbank will continue to lead the combined company.
The integration process will begin immediately and is expected to take approximately 18 months to complete. During this time, both companies will continue to operate independently.
Customer Impact
The merger is expected to have a positive impact on customers of both Capital One and Discover. The combined company will offer a wider range of products and services, including credit cards, loans, deposits, and investment products. Customers will also benefit from the combined company’s increased scale and resources.
Capital One and Discover are committed to making the transition as smooth as possible for customers. Customers will be provided with regular updates throughout the integration process.
We are excited about the opportunity to create a truly differentiated financial services company that will deliver superior value to our customers, employees, and shareholders. We believe that this merger will create a stronger and more competitive company that is well-positioned for the future.
Kind regards N. Bauer.
