JPMorgan Chase CEO Jamie Dimon has said the bank could spend as much as $20 billion on a major acquisition over the next two years if the right target appears.
Summary
- JPMorgan CEO Jamie Dimon said the bank could spend $10 billion to $20 billion on a major acquisition over the next two years.
- Dimon said any deal must fit JPMorgan’s operations and culture, and acquisitions should not replace organic growth.
- JPMorgan’s May 21 report said tokenized funds make up only 5% of the stablecoin market, as stablecoins remain more widely used in crypto trading, collateral, and payments.
According to CNBC, Dimon made the comments on Wednesday during a fireside chat at the Bernstein Strategic Decisions Conference, where he said JPMorgan may have the opportunity to invest between $10 billion and $20 billion in buying another company.
Dimon sets conditions for any deal
During the conference, Dimon said JPMorgan would not pursue a takeover simply because it has the balance sheet to do so. Per CNBC, he said any company bought by the bank would need to fit properly inside JPMorgan’s existing operations and culture.
Dimon also pushed back against the idea that acquisitions should replace day-to-day business growth. CNBC quoted him as saying he did not want to hear only about mergers and acquisitions, but about work being done in sales, branches, technology, profits, products, and services.
The JPMorgan chief described dealmaking as a last-resort tool, according to the report. He said companies that lean too heavily on acquisitions may be using them to cover weak internal growth.
First Republic remains JPMorgan’s largest recent deal
Under Dimon, JPMorgan has completed several major purchases, though none have reached the $20 billion level he discussed at the conference. In 2023, JPMorgan acquired a substantial majority of First Republic Bank’s assets for $10.6 billion after regulators seized the lender. The deal expanded JPMorgan’s deposits and wealth management business.
During the 2008 financial crisis, JPMorgan bought Bear Stearns for about $1.4 billion and acquired Washington Mutual’s banking operations for $1.9 billion. Those transactions added scale to the bank’s investment banking and consumer banking franchises.
Other deals under Dimon include JPMorgan’s purchase of the remaining stake in U.K. broker Cazenove for about $1.7 billion in 2009, fintech firm WePay for roughly $220 million in 2017, and healthcare payments company InstaMed for more than $500 million in 2019.
JPMorgan also tracks digital finance trends
The acquisition comments came as JPMorgan continues to publish research on changes in digital finance and payments.
As previously reported by crypto.news, JPMorgan said in a May 21 report that tokenized funds account for only 5% of the stablecoin market supply, even though they offer higher yields.
According to the bank’s report, stablecoins remain the main cash tool across crypto trading, collateral use, and payments. JPMorgan said stablecoins hold that role because they are already built into centralized exchanges, DeFi protocols, and cross-border payment systems.
The same report said tokenized funds face more friction because users must go through subscription and redemption steps. JPMorgan said those extra steps limit their use in fast on-chain activity.
