Capital One Financial Corporation (NYSE: COF) and Discover Financial Services (NYSE: DFS) have announced that they have received final regulatory approvals for Capital One's proposed acquisition of Discover. The transaction is expected to close on May 18, 2025, subject to the satisfaction of customary closing conditions.
Upon closing, Capital One will begin the implementation of 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.
The combination of the 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.
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.
Shareholders of both companies have approved the transaction, with more than 99 percent of each company's shares voting in favor earlier this year.
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.
Michael Shepherd, interim CEO and president of Discover, also highlighted the potential impact of the acquisition, emphasizing that it will bring meaningful community benefits and increase resources devoted to innovation and security.
The board of governors of the Federal Reserve System and the Office of the Comptroller of the Currency have approved the transaction, following the approval of the Delaware State Bank Commissioner in December 2024.
The companies have provided comprehensive information regarding relevant conversion activities well in advance of any future changes for customers.
Further information on Capital One's agreement to acquire Discover Financial Services can be found at www.capitalonediscover.com. The market has reacted to these announcements by moving the company's shares 1.7% to a price of $162.77. If you want to know more, read the company's complete 8-K report here.
