We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Bank of Montreal Considers U.S. Branch Sale With $6B in Deposits
Read MoreHide Full Article
Key Takeaways
Bank of Montreal is exploring the sale of some U.S. branches with about $6B in deposits.
The sale may involve branches in Wyoming and the Dakotas, along with related loans.
The move follows BMO's $16.3B Bank of the West acquisition, adding 500 branches in 2023.
Bank of Montreal (BMO - Free Report) recently initiated a process to sell some of its U.S. branches, which hold approximately $6 billion in deposits, per the Wall Street Journal, as cited by Reuters, citing people familiar with the matter. The move highlights the Canadian lender’s efforts to exit select geographies and streamline its U.S. retail footprint following its largest acquisition in 2023.
Details of the BMO’s Planned Sale
According to the report, the bank is weighing the divestiture of branches in states such as Wyoming and the Dakotas. The branches may be sold either individually or in clusters and could include associated loans. However, the plans are still preliminary and may not ultimately result in a transaction.
The potential branch sale follows BMO’s $16.3 billion acquisition of BNP Paribas’ U.S. unit, Bank of the West, completed in 2023. The deal added nearly 500 branches, expanded its customer base by about 2 million, and strengthened its presence across the Midwest and Western United States.
BMO is reviewing its branch network to streamline operations, a process that often involves closures or consolidations. Such moves are common after major deals, particularly as more customers shift toward digital and mobile banking services.
Our Take on BMO
The potential divestiture underscores BMO’s focus on optimizing its U.S. presence while continuing to strengthen its long-term growth strategy. Streamlining its branch network is expected to support efficiency gains and strengthen its strategic positioning.
BMO’s Price Performance & Zacks Rank
Over the past six months, shares of Bank of Montreal have gained 33.2% compared with the industry’s growth of 22.4%.
In July 2025, Capital One Financial Corporation (COF - Free Report) decided to wind down the home equity lending business it acquired while buying Discover Financial in May.
After conducting a strategic review of Discover’s home equity and refinance loan business to assess its fit within the company’s portfolio, COF announced the difficult decision to exit the business.
In June 2025, HSBC Holdings PLC (HSBC - Free Report) announced it would close its business banking division in the United States. This announcement comes amid the company’s ongoing business simplification efforts and accelerated shift toward the Asia and Middle East regions.
The move aligns with the bank’s ongoing overhaul of its dealmaking and corporate advisory activities in the West. HSBC intends to tighten its focus on Asia and boost returns under CEO Georges Elhedery.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Bank of Montreal Considers U.S. Branch Sale With $6B in Deposits
Key Takeaways
Bank of Montreal (BMO - Free Report) recently initiated a process to sell some of its U.S. branches, which hold approximately $6 billion in deposits, per the Wall Street Journal, as cited by Reuters, citing people familiar with the matter. The move highlights the Canadian lender’s efforts to exit select geographies and streamline its U.S. retail footprint following its largest acquisition in 2023.
Details of the BMO’s Planned Sale
According to the report, the bank is weighing the divestiture of branches in states such as Wyoming and the Dakotas. The branches may be sold either individually or in clusters and could include associated loans. However, the plans are still preliminary and may not ultimately result in a transaction.
The potential branch sale follows BMO’s $16.3 billion acquisition of BNP Paribas’ U.S. unit, Bank of the West, completed in 2023. The deal added nearly 500 branches, expanded its customer base by about 2 million, and strengthened its presence across the Midwest and Western United States.
BMO is reviewing its branch network to streamline operations, a process that often involves closures or consolidations. Such moves are common after major deals, particularly as more customers shift toward digital and mobile banking services.
Our Take on BMO
The potential divestiture underscores BMO’s focus on optimizing its U.S. presence while continuing to strengthen its long-term growth strategy. Streamlining its branch network is expected to support efficiency gains and strengthen its strategic positioning.
BMO’s Price Performance & Zacks Rank
Over the past six months, shares of Bank of Montreal have gained 33.2% compared with the industry’s growth of 22.4%.
Image Source: Zacks Investment Research
Currently, the company carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other Banks Taking Similar Steps
In July 2025, Capital One Financial Corporation (COF - Free Report) decided to wind down the home equity lending business it acquired while buying Discover Financial in May.
After conducting a strategic review of Discover’s home equity and refinance loan business to assess its fit within the company’s portfolio, COF announced the difficult decision to exit the business.
In June 2025, HSBC Holdings PLC (HSBC - Free Report) announced it would close its business banking division in the United States. This announcement comes amid the company’s ongoing business simplification efforts and accelerated shift toward the Asia and Middle East regions.
The move aligns with the bank’s ongoing overhaul of its dealmaking and corporate advisory activities in the West. HSBC intends to tighten its focus on Asia and boost returns under CEO Georges Elhedery.