FNB subsidiary First National Bank of Pennsylvania has signed a purchase and assumption agreement with Fifth Third Bank to acquire 17 branch banking locations and related consumer loans in the Pittsburgh MSA.
The deal also includes the purchase of $383m worth retail and private banking deposits from Fifth Third Bank.
FNB president CEO Vincent Delie, Jr. said: "Our experienced integration teams and Pittsburgh-based management group will lead customers through a smooth and timely transition.
"We believe our new and existing customers will benefit by being part of one the largest retail banks in Pittsburgh and will be very pleased with our comprehensive suite of retail and commercial products including top-tier online and mobile banking services."
The deal is said to be additive to FNB’s retail delivery channel, providing access to around firm’s 100 branches in the Pittsburgh region.
According to First National Bank, the customers of the acquired branches will be informed about the transfer of their accounts in the next few months.
Subject to regulatory review and approval, the deal is expected to be completed in early 2016.
RBC Capital Markets served as exclusive financial advisor to First National Bank of Pennsylvania, while Deutsche Bank Securities served as financial advisor to Fifth Third Bank on the transaction.
With around $19.6bn pro-forma assets, FNB operates around 300 banking offices across Pennsylvania, Maryland, Ohio and West Virginia in the US.
Image: FNB to purchase $383m worth retail and private banking deposits from Fifth Third Bank. Photo: courtesy of Stuart Miles / FreeDigitalPhotos.net.