What Happened to First Citizens Bank?

First Citizens Bank, operating under the holding company First Citizens BancShares, Inc. (NASDAQ: FCNCA), traces its origins to 1898 as the Bank of Smithfield in North Carolina. Founded with just $10,000, it initially served agricultural customers and steadily grew through the early 20th century, adopting the name First Citizens Bank & Trust Company in 1929. The bank's long-term stability and family leadership, particularly under the Holding family since 1935, have been hallmarks of its strategy, allowing it to navigate economic challenges like the Great Depression and expand its presence across the southeastern U.S.

A significant turning point for First Citizens Bank occurred in 2022 with its merger with CIT Group, which substantially expanded its national reach and commercial banking capabilities. This was followed by an even more impactful event in March 2023, when First Citizens Bank acquired the commercial banking business of Silicon Valley Bridge Bank, N.A., from the FDIC. This acquisition, which included approximately $119 billion in deposits and $72 billion of SVB's loans, effectively doubled First Citizens' asset base and propelled it into the top 20 U.S. financial institutions. The deal was structured as a whole bank purchase with loss share coverage, providing stability to the banking sector during a period of crisis.

The acquisition of Silicon Valley Bank (SVB) was driven by First Citizens' strategy to leverage SVB's strength in serving the private equity, venture capital, and technology sectors, building on its own experience with innovation hubs. While the acquisition was largely successful, it led to some legal challenges, including a lawsuit filed in March 2025 by SVB Financial Trust (the former parent company of SVB) alleging that First Citizens failed to acquire certain SVB trademarks. First Citizens has denied these claims, asserting its ownership of the brand assets.

As of 2026, First Citizens Bank continues its growth trajectory and strategic integration efforts. In October 2025, the bank announced an agreement to acquire 138 branches from BMO Bank N.A. across the Midwest, Great Plains, and West regions, a transaction expected to close in the third quarter of 2026. This acquisition is projected to add approximately $5.3 billion in deposits and $700 million in loans. The bank has also reported strong financial results for the second quarter of 2026, with adjusted net income of $691 million and adjusted earnings per share of $57.09, exceeding analyst expectations.

Looking ahead, First Citizens is focusing on optimizing its funding profile and investing in risk management and technology. The Silicon Valley Bank division, which has been operating under its original name as a division of First Citizens Bank, is slated for a major rebranding in the fourth quarter of 2026. The technology and healthcare business will become 'First Citizens Innovation Banking,' Global Fund Banking will be 'First Citizens Fund Banking,' and the SVB Wine division will rebrand to 'First Citizens Bank.' This move aims to align the acquired businesses more closely with the First Citizens brand while maintaining their specialized focus.