PNC Financial Services Group will build out its capital markets business with a deal to acquire a broker-dealer specializing in working with financial institutions.
The $368.6 billion-asset PNC said it has agreed to buy Ambassador Financial Group in Allentown, Pa. The Pittsburgh company did not disclose the price of the deal, which is expected to close in the second quarter.
"This combination represents an opportunity to deliver tailored end-to-end solutions and positions us to offer a full product platform to banks and other financial institutions," Charlotte McLaughlin, president and CEO of PNC Capital Markets, said in a press release Monday. "We look forward to expanding our advisory services with enhanced merger and acquisition and capital markets capabilities in the financial institutions group space, and deepening relationships with clients."
Ambassador Financial Group, founded in 2006, provides balance sheet management, investment banking and capital markets services to banks, insurance companies and other financial institutions. It would become a subsidiary of PNC Bank’s capital markets financial institutions group in the corporate and institutional banking business.
"This is a logical evolution of Ambassador's business model and a natural fit partnering with PNC. We have had the opportunity to work closely with each other over the years on client projects and share similar cultural philosophies,” Matt Resch, co-founder and managing partner of Ambassador, said in the press release.
PNC’s last nonbank acquisition
PNC reports fourth-quarter earnings Wednesday.
