What is U.S. Bancorp acquiring?

U.S. Bancorp is acquiring BTIG, a financial services firm.

How much is U.S. Bancorp paying for BTIG?

The acquisition is valued at up to $1 billion in cash and stock.

When will the U.S. Bancorp and BTIG deal close?

The deal is expected to close in the second quarter.

Home / Business and Economy / U.S. Bancorp Buys BTIG in $1 Billion Deal

U.S. Bancorp Buys BTIG in $1 Billion Deal

15 Jan

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Summary

U.S. Bancorp to acquire BTIG for up to $1 billion.
Deal includes initial $725 million and performance-based payouts.
Acquisition aims to boost institutional client support and markets-based products.

U.S. Bancorp Buys BTIG in $1 Billion Deal

U.S. Bancorp has announced a significant acquisition, agreeing to purchase BTIG, a firm specializing in investment banking and trading services. The deal is valued at up to $1 billion, comprising a mix of cash and stock. This strategic expansion is set to enhance U.S. Bancorp's capabilities in institutional sales and trading, capital markets, and advisory services.

The financial terms include an initial payment of $725 million, with a further $275 million in cash potentially payable over the next three years, contingent on meeting specific performance benchmarks. This acquisition aims to broaden U.S. Bancorp's market-based product set and increase revenue streams, particularly for its institutional client base.

BTIG, which employs over 700 people and generated approximately $750 million in adjusted net revenue last year, brings valuable expertise in areas like institutional equity sales and trading, and M&A advisory. The companies have a prior working relationship, having been referral partners since 2014, with an M&A referral program launched in 2023. The transaction is scheduled to be finalized in the second quarter.