BMO Sells 138 Branches to First Citizens

BMO Financial Group has finalized the sale of 138 of its branch locations to First Citizens Bank & Trust Company. This significant divestment, initially disclosed last October, impacts branches across eight states: North Dakota, South Dakota, Wyoming, Nebraska, Kansas, Missouri, Oklahoma, and Idaho, with additional selected branches in Minnesota, Oregon, and Illinois. Under the terms of the agreement, First Citizens Bank is assuming approximately $5.7 billion in deposit liabilities and purchasing around $1.1 billion in loans from BMO. This move aligns with BMO's broader strategy to reshape its US financial center network. The bank intends to redirect capital and resources towards markets offering robust client engagement and promising long-term growth prospects. This includes substantial expansion plans for over 130 new sites in California and approximately 15 in Arizona, aiming to increase its California footprint by over 50% as part of a multi-year Western US growth strategy. BMO, described as the eighth largest bank in North America by assets, has operated for over two centuries, providing a wide range of financial services. First Citizens Bank offers comprehensive banking services nationwide. The sale marks a strategic realignment for BMO, focusing on key growth areas.