First Citizens Weighs Acquisition Targets After SVB Deal

Bank looks to grow past $250 billion asset threshold through M&A

Published on Mar. 2, 2026

Got story updates? Submit your updates here. ›

First Citizens BancShares Inc. is exploring potential acquisition targets that could help the bank quickly surpass $250 billion in assets, according to people familiar with the discussions. The bank has asked advisers to identify possible transactions, including a potential deal for Cleveland-based KeyCorp, as First Citizens seeks to gain more scale to better manage regulatory and compliance costs following its acquisition of the collapsed Silicon Valley Bank.

Why it matters

First Citizens' move to grow through M&A comes as banks face increasing regulatory burdens and compliance costs, especially those over the $250 billion asset threshold. Acquiring a sizable target like KeyCorp would significantly expand First Citizens' footprint and allow it to better navigate the complex regulatory environment.

The details

First Citizens is looking to identify acquisition targets that would help it quickly exceed $250 billion in assets, a key threshold that triggers additional regulatory scrutiny and requirements. The bank has asked its advisers to draw up a list of potential transactions, including a possible deal for Cleveland-based KeyCorp, as it seeks to gain more scale and resources to handle the costs associated with being a larger financial institution.

  • First Citizens acquired the assets of the collapsed Silicon Valley Bank in March 2023.

The players

First Citizens BancShares Inc.

A North Carolina-based bank that recently acquired the assets of the collapsed Silicon Valley Bank.

KeyCorp

A Cleveland, Ohio-based regional bank that First Citizens is reportedly considering as a potential acquisition target.

Got photos? Submit your photos here. ›

What’s next

First Citizens is expected to continue evaluating potential acquisition targets in the coming months as it looks to grow past the $250 billion asset threshold.

The takeaway

First Citizens' pursuit of a sizable acquisition highlights the growing pressure on regional banks to gain scale and resources in order to effectively navigate the complex regulatory landscape for financial institutions over $250 billion in assets.