Puerto Rico-based First BanCorp, the parent company of FirstBank Puerto Rico, has completed the previously announced acquisition of Banco Santander Puerto Rico and its subsidiary, Santander BanCorp for $1.1bn.
The acquisition was announced in October last year.
As of 31 July 2020, Banco Santander Puerto Rico had nearly $5.5bn in assets, $2.7bn in total loans and $4.2bn in deposits.
The deal is expected to further strengthen FirstBank BanCorp’s position on the island’s financial service industry and could significantly expand its ability to service its customers.
The combined business will now have over $17bn in total assets
After the deal, the Puerto Rico-based bank is expected to have a network of 73 branches.
The acquisition enables FirstBank to expand its presence across San Juan, Bayamón, Caguas, and Guaynabo, along with the western and southern regions of the island.
The combined company will now have a network of over 445 ATMs across Puerto Rico and the customers of both the banks will be able to use the ATMs for free of charge.
Additionally, the bank is also planning to provide over 100 ATMs with remote deposit capacity.
FirstBank expects to complete the integration process during the second quarter of 2021. To minimize the impact on FirstBank and Banco Santander customers, The process is expected to be undertaken gradually.
Prior to the completion of the merger, customers are allowed to conduct their banking business through their existing relationship branches and corresponding bank platforms.
First BanCorp president and CEO Aurelio Alemán said: “Today we completed the acquisition of Banco Santander announced back in October 2019. The completion of this transaction marks a significant milestone in our journey.
“The integration process will be carried out gradually to minimize the impact on FirstBank and Banco Santander customers, and we expect to complete the integration process during the second quarter of 2021.
“In the meantime, each of the FirstBank and Banco Santander customers prior to the merger will continue to conduct their banking business through their existing relationship branches and corresponding bank platforms.
“This is a new chapter for First BanCorp and we are delighted to make evident to our shareholders, customers and employees what we are capable of accomplishing together.”
