First Financial Bancorp. Announces the Completion of its Acquisition of BankFinancial

Rhea-AI Summary

First Financial Bancorp (Nasdaq: FFBC) announced it completed its acquisition of Chicago-based BankFinancial effective January 1, 2026 via an all-stock transaction.

The deal adds BankFinancial's 18 Chicago-area financial centers, regional and national commercial loan, lease and deposit businesses and brings First Financial's consolidated assets to $22 billion. BankFinancial will operate under its current name until a planned conversion in June 2026; customers need take no action before conversion notices arrive.

The acquisition extends First Financial's Midwestern footprint alongside recent deals in Chicago, Lincolnshire, Westfield and Grand Rapids and aims to expand consumer, commercial, specialty lending and wealth management offerings in Chicago.

Positive

• Assets increased to $22 billion after closing
• 18 retail financial centers added in Chicago
• Entry into consumer retail banking in Chicago market
• Broadens commercial, specialty lending and wealth services

Negative

• None.

Key Figures

Total assets post-deal $22 billion Pro forma assets after BankFinancial acquisition completion

Chicago financial centers 18 locations BankFinancial retail and commercial locations added in Chicago area

System conversion timing June 2026 Anticipated completion of product, process and systems consolidation

Market Reality Check

$25.09 Last Close

Volume Volume 1,241,994 is 1.66x the 20-day average of 746,925, indicating elevated interest before the acquisition close. high

Technical Price at $25.02 trades above the 200-day MA $24.70 but sits 14.34% below the $29.21 52-week high.

Peers on Argus

FFBC slipped 0.75% as several regional peers also traded lower (e.g., TRMK -1.04%, WAFD -1.66%, PRK -0.75%), suggesting the stock’s mild decline occurred against a generally weaker bank tape rather than a name-specific rally on the BankFinancial close.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 15	Acquisition approval	Positive	+0.6%	Regulatory approval to complete the all-stock acquisition of BankFinancial.
Nov 06	Debt offering	Neutral	+1.6%	Pricing of $300M 6.375% subordinated notes intended as Tier 2 capital.
Nov 03	Acquisition completion	Positive	+1.1%	Completion of Westfield Bancorp and Westfield Bank acquisition in cash-and-stock deal.
Oct 28	Dividend declaration	Positive	-1.9%	Declared quarterly cash dividend of $0.25 per common share.
Oct 23	Earnings results	Positive	-0.1%	Reported strong Q3 2025 with record revenue and solid profitability metrics.

Pattern Detected

Recent strategically positive news (acquisitions, debt offering, strong earnings) has often led to modest positive moves, but dividend and one earnings release saw small negative reactions, showing mixed follow-through on good news.

Recent Company History

Over the last few months, FFBC has focused on acquisitive growth and balance-sheet optimization. It completed the Westfield acquisition, taking assets to $20.6 billion, and later priced a $300 million subordinated notes offering to bolster Tier 2 capital. Earnings for Q3 2025 showed record total revenue of $234M and net income of $71.9M. Regulatory approval for the BankFinancial deal on Dec 15 preceded today’s announcement of its completion, extending the company’s Midwest expansion strategy.

Market Pulse Summary

This announcement completes FFBC’s all-stock acquisition of BankFinancial, expanding into Chicago retail banking and taking pro forma assets to $22 billion. It follows earlier regulatory approvals and continues a broader Midwest M&A strategy that recently included Westfield. Investors may focus on execution through the June 2026 conversion process, deposit retention at the 18 acquired locations, and how combined operations influence future earnings and capital strength.

Key Terms

all-stock transaction financial

"through an all-stock transaction, expanding First Financial's presence"

An all-stock transaction is a deal where one company acquires another using only its own shares instead of cash or other assets. For investors, this means exchanging ownership stakes rather than cash, which can affect the value and control of the companies involved. It often signals a focus on growth and can influence the stock prices of both companies.

core deposit franchise financial

"First Financial adds BankFinancial's strong core deposit franchise, with 18"

The core deposit franchise is a bank’s stable pool of customer deposits—such as checking, savings and small business accounts—that provide low-cost, reliable funding over time. It matters to investors because a strong franchise lowers a bank’s funding costs, cushions earnings during market stress and supports lending growth, much like a subscription base gives a company predictable revenue and makes future planning easier.

conversion process technical

"until the completion of the conversion process, anticipated in June 2026"

The conversion process is the act of turning one type of financial instrument into another, most commonly converting convertible bonds or preferred shares into common stock. It matters to investors because it changes the number of outstanding shares and ownership percentages—like exchanging a coupon for a slice of the company—which can dilute existing holdings, alter earnings per share and affect control and market value.

AI-generated analysis. Not financial advice.

CINCINNATI, Dec. 31, 2025 /PRNewswire/ -- First Financial Bancorp. (Nasdaq: FFBC) ("First Financial" or the "Company") announced today that, on January 1, 2026, it will close its previously announced acquisition of Chicago-based BankFinancial Corporation ("BankFinancial") through an all-stock transaction, expanding First Financial's presence in the Chicago market with its first retail consumer-focused locations.

First Financial adds BankFinancial's strong core deposit franchise, with 18 financial centers in the area, plus its regional and national commercial loan, lease and deposit lines of business. With the completion of this acquisition, First Financial will now have $22 billion in assets and offer an even broader range of consumer, commercial, specialty lending and wealth management services.

"Expanding our presence in Chicago presents us with significant opportunities for growth and profitability because of the many solutions we can bring to new and existing clients in this market," said Archie Brown, president and chief executive officer of First Financial Bank. "First Financial exists to create opportunities to help our clients and communities thrive, and we look forward to the impact we can have with this approach in Chicago."

BankFinancial locations will continue to operate under the name "BankFinancial" until the completion of the conversion process, anticipated in June 2026, which will consolidate the two banks' products, processes and operating systems. BankFinancial clients will receive detailed information about account conversions in the coming months. Until then, BankFinancial clients do not need to take any action and can continue to obtain services from their existing BankFinancial channels. First Financial clients will not be impacted by the merger or the conversion. 

This acquisition continues First Financial's recent growth in the Midwest. In 2023, First Financial added a commercial lending presence in Chicago's Fulton Market, and it acquired Lincolnshire-based Agile Premium Finance in 2024. In November 2025, First Financial announced the closing of its Westfield Bank acquisition, expanding its existing commercial banking and wealth management capabilities in Northeast Ohio. First Financial also recently added a commercial banking presence in Grand Rapids, Michigan. These growth areas build upon the bank's Midwestern foundation, which includes Cincinnati, Dayton, Columbus and Northeast Ohio; Chicago, Illinois; Indianapolis, Indiana; and Louisville, Kentucky.

About First Financial Bancorp.
First Financial Bancorp. is a Cincinnati, Ohio-based bank holding company. As of September 30, 2025, the Company had $18.6 billion in assets, $11.7 billion in loans, $14.4 billion in deposits and $2.6 billion in shareholders' equity. The Company's subsidiary, First Financial Bank, founded in 1863, provides banking and financial services products through its six lines of business: Commercial, Retail Banking, Investment Commercial Real Estate, Mortgage Banking, Commercial Finance and Wealth Management. These business units provide traditional banking services to business and retail clients. Wealth Management provides wealth planning, portfolio management, trust and estate, brokerage and retirement plan services and had approximately $4.0 billion in assets under management as of September 30, 2025. The Company operated 127 full service banking centers as of September 30, 2025, located in Ohio, Indiana, Kentucky and Illinois, while the Commercial Finance business lends into targeted industry verticals on a nationwide basis. In 2025, First Financial Bank received its second consecutive Outstanding rating from the Federal Reserve for its performance under the Community Reinvestment Act and was recognized as a Gallup Exceptional Workplace Award winner, one of only 70 Gallup clients worldwide to receive this designation. Additional information about the Company, including its products, services and banking locations, is available at www.bankatfirst.com.

Cautionary Statements Regarding Forward-Looking Information
Certain statements contained in this communication that are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, certain plans, expectations, goals, projections and benefits relating to the BankFinancial merger, which are subject to numerous assumptions, risks and uncertainties. Words such as "believes," "anticipates," "likely," "expected," "estimated," "intends" and other similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. Please refer to First Financial's Annual Report on Form 10-K for the year ended December 31, 2024, as well as its other filings with the U.S. Securities and Exchange Commission ("SEC"), for a more detailed discussion of risks, uncertainties and factors that could cause actual results to differ from those discussed in the forward-looking statements.

Forward-looking statements are not historical facts but instead express only management's beliefs regarding future results or events, many of which, by their nature, are inherently uncertain and outside of the management's control. It is possible that actual results and outcomes will differ, possibly materially, from the anticipated results or outcomes indicated in these forward-looking statements. In addition to factors previously disclosed in reports filed by First Financial with the SEC, risks and uncertainties for First Financial include, but are not limited to, the failure to satisfy conditions to completion of the Merger, including receipt of any other approvals or stop orders or the failure of the Merger to close for any other reason. All forward-looking statements included in this filing are made as of the date hereof and are based on information available at the time of the filing. Except as required by law, First Financial does not assume any obligation to update any forward-looking statement.

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SOURCE First Financial Bancorp.

FAQ

When did First Financial (FFBC) complete the acquisition of BankFinancial?

First Financial completed the all-stock acquisition effective January 1, 2026.

How many BankFinancial branches did First Financial (FFBC) acquire in Chicago?

First Financial acquired 18 Chicago-area financial centers from BankFinancial.

What is First Financial's (FFBC) total assets after acquiring BankFinancial?

Following the acquisition, First Financial reported consolidated assets of $22 billion.

When will BankFinancial accounts convert to First Financial systems (FFBC)?

The conversion process is anticipated to be completed in June 2026; customers will receive detailed account conversion information beforehand.

Will BankFinancial customers need to act now after the FFBC acquisition?

No; BankFinancial clients do not need to take any action until they receive conversion instructions.