Huntington National Bank Expanded Energy Portfolio in 2025
The bank integrated energy teams from recent acquisitions to diversify its corporate banking unit.
Updated on Oct. 1, 2026 in Business Strategy
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Huntington National Bank, which holds $284 billion in total assets, expanded its corporate banking portfolio into the energy sector in 2025. This move involved integrating energy teams from the acquired Cadence Bank and Veritex Bank to drive growth.
Why it matters
Executive managing director Zewditu Menelik aimed to diversify the corporate division's revenue streams and mitigate risks by leveraging energy infrastructure financing. This transition shifted the unit from past exposure to energy credit defaults toward a high-yield, lower-risk model.
The corporate banking group, which manages $53 billion in commitments and $26 billion in earning assets, reported 46% organic growth in Q1 2026. This follows 2025 acquisitions of Cadence Bank for $7.4 billion and Veritex Bank for $1.9 billion.
The players
Zewditu Menelik
The executive managing director of corporate, specialty and government banking at Huntington National Bank who oversees the unit's diversification strategy.
Huntington National Bank
A $284 billion asset bank that operates across the United States and has recently focused on aggressive corporate banking expansion.
Cadence Bank
A financial institution acquired by Huntington National Bank in 2025 for $7.4 billion to bolster its regional corporate and energy banking capabilities.
Veritex Bank
A financial institution acquired by Huntington National Bank in 2025 for $1.9 billion.
The details
Zewditu Menelik designed a diversification strategy that utilizes infrastructure financing to stabilize the bank's energy-related exposure. By integrating specialized energy teams from the acquired banks, Huntington stabilized its corporate unit, which surpassed $20 billion in assets and deposits in October 2025. The bank plans to maintain this momentum by adding one to two new verticals to its corporate banking group annually.
Timeline
2019: Energy-related credit defaults began at Huntington National Bank.
2020: Energy defaults peaked at 40% of nonperforming bank assets.
2025: Huntington acquired Cadence Bank and Veritex Bank.
October 2025: Corporate unit surpassed $20 billion in assets and deposits.
Q1 2026: Corporate unit reported 46% growth in earning assets.
Market Landscape
The expansion follows the industry's recovery from the 2019-2020 energy sector credit default cycle, marking a shift toward safer infrastructure-backed lending. This strategy signals a broader trend among regional lenders aiming to scale through targeted M&A.
Operators should monitor how their banking partners structure infrastructure financing as a buffer against sector-specific volatility. Reviewing loan commitments during periods of high bank consolidation may provide leverage for better credit terms.
The takeaway
Menelik's strategy demonstrates that integrating acquired specialized teams is an effective method for de-risking a previously volatile portfolio. Business owners should assess their current lending partners' sectoral diversification to ensure credit lines remain resilient during industry downturns.
Further reading
For more on evolving corporate banking models, see the Business Strategy section.
Source note: This article includes information reported by American Banker.
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