BMO Completes Sale of 138 United States Branches to First Citizens Bank

BMO Financial Group has completed the formal sale of 138 retail banking branches located across the United States to First-Citizens Bank & Trust Company, commonly known as First Citizens Bank. The announcement was jointly released by the two financial institutions following the receipt of necessary regulatory approvals and the completion of transitional operations. Toronto-based BMO, which trades under the ticker symbol BMO on both the Toronto Stock Exchange and the New York Stock Exchange, had originally agreed to divest the branch assets as part of an effort to optimize its cross-border retail network. The deal allows BMO to concentrate resources in targeted commercial hubs and primary metropolitan markets while trimming redundant retail locations. First Citizens Bank, headquartered in Raleigh, North Carolina, expands its nationwide presence through the acquisition. The commercial lender has steadily grown its domestic footprint across the United States over recent years through targeted branch purchases and corporate acquisitions, strengthening its deposit base and consumer lending capabilities. The transaction transfers physical branch real estate, select consumer and business deposit accounts, and associated branch-level liabilities to First Citizens Bank. Regulators had closely monitored the transaction to ensure continuous service for retail depositors, uninterrupted account access, and regulatory compliance across all affected state jurisdictions. Customers holding checking, savings, and certificate of deposit accounts at the 138 locations will see their accounts formally migrate to the First Citizens banking system. Both lenders stated that customer transition plans have been implemented to maintain access to automated teller machines, branch teller desks, and digital banking platforms throughout the changeover period. Branch staff and customer-facing employees at the impacted locations are expected to join First Citizens Bank under the terms negotiated between the two financial groups. Transition teams from both organizations worked throughout the operational timeline to coordinate employee onboarding, records transfer, and IT systems integration. Senior leadership at BMO highlighted that the branch divestiture aligns with the Canadian bank's broader operational focus on capital allocation and technological efficiency. By streamlining its retail presence, the lender aims to direct greater investment toward digital banking platforms and high-yield commercial financing lines. For First Citizens Bank, adding 138 locations solidifies its position among the most expansive regional retail networks operating across the country. Bank executives indicated that expanding physical customer touchpoints remains a valuable complement to their expanding suite of online and mobile financial services. Banking analysts observe that retail bank consolidation in North America continues at a brisk pace as lenders balance customer shifts toward online banking against the necessity of maintaining local community branch presence. Rising operating costs, technology expenditures, and shifting interest rate environments have motivated large institutions to selectively restructure branch maps. The completion of the sale marks another major milestone in North American banking transactions this year. With regulatory approvals secured and the asset transfer finalized, both institutions have initiated final branch rebranding efforts to introduce First Citizens Bank signage and service frameworks at all 138 acquired sites.