Capital One Financial Corporation (NYSE: COF) and Discover Financial Services (NYSE: DFS) have announced the approval of their proposed acquisition by the Board of Governors of the Federal Reserve System and the Office of the Comptroller of the Currency. This approval follows the endorsement of the transaction by the Delaware State Bank Commissioner in December 2024 and by shareholders of more than 99 percent of each company's shares voting in February of this year.
The transaction is expected to close on May 18, 2025, subject to the satisfaction of customary closing conditions. Upon closing, Capital One will begin implementing its historic, five-year Community Benefits Plan (CBP), developed in connection with the acquisition and in partnership with leading community organizations, mobilizing more than $265 billion in lending, investment, and services to advance economic opportunity and financial well-being across America.
Richard Fairbank, founder, chairman, and CEO of Capital One, expressed gratitude to the thousands of associates across both companies who have worked tirelessly to achieve this significant milestone. He also emphasized the profound sense of possibility and responsibility to deliver for customers, associates, shareholders, and communities.
Michael Shepherd, interim CEO and president of Discover, highlighted that there will be no immediate changes to Capital One and Discover customer accounts and relationships now or in the period immediately following the closing of the transaction. Customers will continue to be served through their respective Capital One and Discover customer communications channels until further notice.
The combination of these two companies is expected to increase competition in payment networks, offer a wider range of products to customers, increase resources devoted to innovation and security, and bring meaningful community benefits.
For further information on Capital One's agreement to acquire Discover Financial Services, interested parties can visit www.capitalonediscover.com. As a result of these announcements, the company's shares have moved 1.7% on the market, and are now trading at a price of $162.77. For the full picture, make sure to review Capital One Financial's 8-K report.
