The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2020 Euromoney, a part of the Euromoney Institutional Investor PLC.
Banking

PNC’s Demchak pushes ‘be national’ strategy with $11.6bn BBVA USA deal

The chief executive of PNC Financial Services is making good on his plan to deploy the proceeds from this year’s sale of its stake in BlackRock in ways that dovetail with his long-held strategy of pushing for a coast-to-coast presence.

PNC branch.jpg
Photo: Rick Smith

Bill Demchak is putting his money where his mouth is.

When Euromoney spoke to the chief executive of PNC Financial Services this summer, in the wake of the group’s disposal of its 22% stake in asset manager BlackRock, it was obvious he was looking around for strategic ways to deploy the $11.1 billion that the sale added to the bank’s war chest after tax.

And given that everything Demchak has done since taking the helm of PNC in 2013 has been geared around a strategy that could be summed up as ‘be national’, Monday’s announcement by the bank of a $11.6 billion acquisition of BBVA USA Bancshares ticks the most important box of all. It expands the bank’s footprint to 29 of the 30 biggest markets in the US.

“This is a strategic transaction that will help us create a leading national franchise,” Demchak told analysts on a conference call to announce the transaction on Monday morning US time. For the past few years, PNC has been focused on an organic expansion plan, building on previous acquisitions.

“BBVA is going to supercharge these national expansion efforts,” he added.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree