Commerce Bancshares, Inc. (NASDAQ: CBSH) recorded a $99 million gain after Visa Inc. accepted the company's tender of 411,723 shares of Visa Class B-2 common stock in exchange for a combination of Visa Class B-3 and Class C common stock.

The Kansas City-based bank marked its Visa Class C common stock to fair value based on the conversion privilege and the May 8 closing price of Visa Class A common stock at $318.79 per share. The company expects to continue marking the Visa Class C shares to fair value on a recurring basis.

Following the exchange, Commerce Bancshares approved a plan to sell available-for-sale debt securities with an amortized cost of approximately $911 million. The securities carry a yield of approximately 2.5% and are expected to generate a pretax loss of approximately $95 million.

The company plans to reinvest most proceeds into investment securities yielding approximately 4.0%. Commerce Bancshares stated the repositioning aims to increase net interest income, reduce earnings volatility, decrease exposure to interest rate changes, and enhance balance sheet quality and flexibility.

The combined impact of the Visa stock gain and the anticipated securities repositioning is expected to be approximately neutral to the company's Common Equity Tier 1 ratio.

The timing and amount of the realized loss on debt securities and reinvestment assumptions may vary based on market conditions, future Visa Class A stock prices, and other factors.

Commerce Bancshares operates as a regional bank holding company with $35.7 billion in assets as of March 31, 2026. The company had previously announced the tender on a Form 8-K filing on April 27, 2026.