In Florida market, one Canadian bank exits as another arrives
Wake up and good morning. So it's hello in Florida to one Canada bank but goodbye to another. TD Bank (the TD stands for Toronto Dominion Bank) just rolled into Florida through its purchase of Mercantile Bank. But Pittsburgh-based PNC Bank is buying RBC (RBC stands for Royal Bank of Canada), which means Florida gains one Canadian bank franchise but loses another in the merger and acquisition game. The deal was officially announced this morning.
The TD Bank deal has been under way for months. PNC's grab of RBC is new. PNC Financial Services Group agreed to pay $3.45 billion in cash and stock for Royal Bank of Canada’s U.S. retail banking unit. RBC Bank is based in Raleigh, N.C., but has more than 420 branches in six states across the region. That includes RBC branches in Seminole and Largo as well as a commercial lending unit in Tampa. Here's Bloomberg News' take on the deal.
Of course, PNC already flexed its muscles in Florida this month by completing its purchase of BankAtlantic's Tampa-St. Petersburg franchise of 19 branches and two related units.
Once the acquisition of RBC Bank is complete, PNC will have the fifth-largest number of bank branches in the United States. Reports say PNC outbid BB&T for RBC.
-- Robert Trigaux, Business Columnist, St. Petersburg Times