PNC Announces Agreement to Acquire FirstBank, Strengthening Its Presence in Colorado and Arizona

PNC Financial Services Group, Inc. has announced it will acquire FirstBank Holding Company, including its banking subsidiary FirstBank, based in Lakewood, Colorado, in a deal valued at approximately $4.1 billion. FirstBank, with $26.8 billion in assets and 95 branches across Colorado and Arizona, is a leading community bank known for strong customer relationships and deep local roots. This acquisition will markedly expand PNC’s presence in these fast-growing western states, making Colorado one of its top markets nationwide by more than tripling its branch network in the state to 120 locations. In Denver, PNC will become the largest bank by retail deposit share at 20% and branch share at 14%, positioning it as a major commercial and business banking player. PNC’s footprint in Arizona will also expand to over 70 branches with the addition of 13 FirstBank locations. PNC’s CEO, William Demchak, highlighted the strategic fit of FirstBank, praising its loyal customer base, community commitment, and untapped growth opportunities in corporate and private banking services. The acquisition aligns perfectly with PNC’s national growth strategy, which combines organic expansion with selective acquisitions to increase scale and market penetration. Over the past decade, PNC has invested heavily in branch openings and renovations in high-growth regions, especially the Southwest, aiming to build a coast-to-coast retail deposit franchise to support its broader banking business. FirstBank is widely recognized for its philanthropic efforts and community leadership, notably driving initiatives like Colorado Gives Day, which has generated over $500 million for local nonprofits. PNC intends to continue and expand this community focus through investments in development, economic inclusion, and volunteer programs. The bank’s Community Benefits Plan has contributed more than $85 billion nationally to areas such as affordable housing and small business financing, with $3.4 billion committed specifically to Colorado and Arizona. Its Grow Up Great® early childhood education program has delivered over 1.2 million volunteer hours, underscoring its social responsibility commitment. Kevin Classen, FirstBank’s CEO, expressed confidence in the partnership with PNC, citing shared values around customer service and employee well-being. The plan is to retain FirstBank’s branches and staff to maintain continuity and local ties while leveraging PNC’s technology and scale to enhance offerings. Following the closing, expected in early 2026 pending regulatory approval, Classen will serve as PNC’s Colorado Regional President and Mountain Territory Executive, overseeing Colorado, Arizona, and Utah. The acquisition will be paid partly in cash and partly in PNC common stock, with FirstBank shareholders having the option to receive either. The transaction is expected to be immediately accretive to PNC’s earnings per share, with a tangible book value dilution of approximately 3.8% and an earnback period of about 3.3 years. PNC’s boards, as well as 45.7% of FirstBank’s shareholders, have approved the deal. Financial advisors for the transaction include Wells Fargo, Morgan Stanley, Goldman Sachs, and legal teams Wachtell Lipton Rosen & Katz and Sullivan & Cromwell. Founded in 1963, FirstBank has grown into one of the largest privately held banks in the U.S., with strong digital banking capabilities and a full range of retail and commercial banking products. PNC, ranked among the top 10 U.S. banks by assets, emphasizes local customer relationships and a diverse portfolio including wealth management and business banking. This acquisition expands PNC’s competitive stature in the western U.S. and complements its existing national footprint. This deal underscores a trend of consolidation and regional expansion in the U.S. banking industry, where large institutions like PNC seek scale to better compete with the biggest national players. With enhanced branch density and deposit share in key markets, PNC is poised to deliver more comprehensive financial services to customers in Colorado and Arizona while continuing its community investment and engagement mission. After closing, FirstBank will be integrated into PNC Bank, N.A., and branches will transition to the PNC brand.