Editor’s Note:This story was updated to include PNC appointments of regional executive leaders.
PNC Bank’s parent company Tuesday completed its $11.5 billion acquisition of BBVA USA bank, which has seven branches in the El Paso area and two in Las Cruces.
The deal makes PNC, based in Pittsburgh, the fifth largest U.S. banking organization with more than $560 billion in assets and more than 2,700 branches across the country, according to PNC information.
The BBVA name and operations will remain the same until the two banks merge their banking operations, which is expected to occur in October, according to a PNC press release.
However, customers of both banks can now use BBVA and PNC ATMs with no charges, a PNC spokesperson said.
BBVA USA is a subsidiary of BBVA, a global banking company based in Spain with extensive operations in Spain, South America, and Mexico, according to BBVA information. It operates several branches in Juarez, just across the U.S.-Mexico border from El Paso. Those are not part of the PNC acquisition.
BBVA USA, with more than $100 billion in assets, has 637 branches in seven states, including 328 in Texas and 17 in New Mexico. It’s based in Birmingham, Alabama.
The acquisition expands PNC’s presence in Texas, where it had only 18 branches, mostly in the Dallas and Houston areas, according to PNC information. It had no New Mexico branches.
Prior to the acquisition, PNC had about 2,100 branches in about 20 states primarily in the Midwest, Southeast, East Coast, and in Washington, D.C., a PNC spokesperson reported.
PNC announced Wednesday that three of BBVA’s regional executives would continue as regional leaders for PNC.
Hector Villegas, who was BBVA’s El Paso city president, will now be PNC’s El Paso market executive; Susana Melendez-Valencia, who was BBVA’s Laredo-based chief executive officer for the Texas border and Gulf Coast, will now be PNC’s regional president and head of commercial banking for the Texas border market; and Kashif Pathan, who was BBVA’s Phoenix-area based West region retail sales executive, will now be PNC’s retail market manager for Colorado, New Mexico, and West Texas.
“Our acquisition of BBVA USA accelerates our national expansion and positions us to increase shareholder value over time by bringing our industry-leading technology and innovative products and services to new markets and clients,” William Demchak, chief executive officer and board chairman of PNC Financial Services Group, the bank’s parent company, said in a statement.
PNC’s stock closed Tuesday at $195.82 per share on the New York Stock Exchange, up $69.53 per share, or an increase of 55.1%, since the BBVA USA acquisition was announced Nov. 16.
PNC Financial Services Group had a profit of $7.6 billion in 2020.
The deal includes a PNC commitment to provide $88 billion in loans, investments, and other financial support over four years beginning in January to low- and moderate-income people and communities, and to people and communities of color.