First Citizens Bank to Buy $5 Billion of BMO Deposits
The asset purchase adds $650 million in loans and extends the bank’s relationship-banking network nationwide.
First Citizens Bank agreed to purchase approximately $5 billion in deposits and $650 million in loans from BMO Bank N.A. in an asset-purchase deal that will expand its footprint to serve individuals, businesses, and commercial clients through a broader network of relationship bankers backed by the scale and resources of a nationwide bank.
The transaction is another step in First Citizens’ pattern of buying branch networks and deposit franchises from larger banks. In October 2025, the bank agreed to acquire 138 branches in the Midwest, Great Plains, and West from BMO, assuming about $5.7 billion in deposit liabilities and $1.1 billion in loans. That deal was expected to provide about $4.6 billion in net liquidity and add low-cost deposits with an overall cost of 1.43%.
Chairman and Chief Executive Officer Frank B. Holding Jr. framed the new purchase as a continuation of that growth path. “Every decision we make starts with our clients,” Holding said. “This expansion reflects our disciplined approach to growth – welcoming talented associates who share our relationship-first culture, investing in communities with significant opportunities to maintain lasting client relationships, and bringing leading capabilities to help clients and communities thrive.”
The bank said the acquisition will let it serve clients through a wider relationship-banking network, using national scale to support local bankers. The rationale mirrors the October BMO branch deal, which First Citizens said would increase density in several states and enter new markets with characteristics similar to those where it already operates.
First Citizens has completed and integrated 19 bank acquisitions since 2015. The company said that deal was projected to be immediately accretive to earnings per share, with minimal dilution to tangible book value per share and a CET1 impact of about 27 basis points.
The new asset purchase does not include a disclosed cash price, exchange ratio, premium, or expected close date in the announcement. The bank said the deal will bring in associates and clients in communities it views as having significant opportunities for lasting relationships.
Holding’s remarks emphasized retaining relationship bankers and investing in those communities. The bank said the expansion is intended to help clients and communities thrive by pairing local bankers with the resources of a larger national franchise.