PITTSBURGH, Oct. 3, 2023
/PRNewswire/ -- PNC Bank ("PNC") today announced it has acquired a
portfolio of capital commitments facilities from Signature Bridge
Bank, N.A. through an agreement with the Federal Deposit Insurance
Corporation ("FDIC") as Receiver. The transaction closed
Oct. 2, 2023. The FDIC established
Signature Bridge Bank, N.A., on March 12,
2023, after being appointed receiver of the former Signature
Bank, New York by the New York State Department of Financial
Services.
The acquired portfolio represents $16.6
billion in total commitments, including $9 billion of funded loans. The transaction, to
be funded with cash on hand, is expected to be immediately
accretive to PNC's earnings, and will represent approximately
10 cents per share in the fourth
quarter of 2023. The transaction will not have a material impact
to PNC's total assets, capital ratios or tangible book value
per share. PNC purchased these commitments and loans without any
funding, guarantees or loss-sharing agreements from the
FDIC. Additional details on the acquired portfolio and the
financial impact of the transaction will be provided on PNC's third
quarter earnings call scheduled for Oct.
13, 2023.
The facilities being acquired are primarily comprised of fund
subscription lines to private equity sponsors to help them manage
liquidity and bridge financing for investments. PNC has long
participated in the capital commitments business and the acquired
portfolio is highly complementary. In addition, the
acquisition will build upon PNC's diversified suite of offerings
serving the private equity industry, including Harris Williams, Solebury, PNC Business Credit and Midland Loan
Services.
PNC Bank, N.A., is a member of The PNC Financial Services Group,
Inc. (NYSE: PNC). PNC is one of the largest diversified financial
services institutions in the United
States, organized around its customers and communities for
strong relationships and local delivery of retail and business
banking including a full range of lending products; specialized
services for corporations and government entities, including
corporate banking, real estate finance and asset-based lending;
wealth management and asset management. For information about PNC,
visit www.pnc.com.
Cautionary Statement Regarding Forward-Looking
Information
This press release contains forward-looking statements regarding
our outlook or expectations with respect to the acquisition of a
portfolio of capital commitments facilities from Signature Bridge
Bank, N.A., and the impact of the transaction on PNC's future
performance.
Forward-looking statements are necessarily subject to numerous
assumptions, risks and uncertainties, which change over time.
Future events or circumstances may change our outlook and may also
affect the nature of the assumptions, risk and uncertainty to which
our forward-looking statements are subject. The
forward-looking statements in this press release speak only as
of the date of this press release, and we assume no duty, and do
not undertake, to update them. Actual results or future events
could differ, possibly materially, from those that we anticipated
in these forward-looking statements. As a result, we caution
against placing undue reliance on any forward-looking
statements.
Forward-looking statements in this press release are subject to
risks and uncertainties related both to the transaction itself and
to the integration of the acquired portfolio into PNC, including
that the acquired portfolio may not perform as we currently project
or in a manner consistent with historical performance and that the
integration of the acquired portfolio into PNC may be more
difficult to achieve than anticipated or have unanticipated adverse
results relating to the acquired portfolio or our existing
business.
These forward-looking statements are also subject to the
principal risks and uncertainties applicable to our businesses
generally that are disclosed in PNC's 2022 Form 10-K, 2023 Form
10-Qs, and in PNC's subsequent SEC filings. Our SEC filings are
accessible on the SEC's website at www.sec.gov and on our corporate
website at www.pnc.com/secfilings. We have included these web
addresses as inactive textual references only. Information on these
websites is not part of this document.
CONTACT:
Timothy Miller
(412) 762-4550
media.relations@pnc.com
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SOURCE PNC Bank