Capital One will buy Discover for $35 billion

Mark Lennihan / Associated Press

Capital One Financial will acquire Discover Financial Service for $35 billion in a deal that would merge two of the major credit card companies and issuers in the United States.

More: Technology companies agree to combat election deceptions generated with AI

Discover Financial shareholders will receive Capital One shares valued at nearly $140 per share, according to a press release issued by the companies on Monday. Discover's shares closed at $110.49 on Monday.

Virginia-based Capital One was the 12th-largest bank in the country as of the third quarter, with total assets of $471.4 billion and $346 billion in deposits, according to S&P Global. 

Illinois-based Discover ranked 33rd with $143.4 billion in assets and $104 billion in deposits.

More: Biden considers imposing new sanctions on Russia for the death of Alexei Navalny