US Bancorp has wrapped up the acquisition of Mufg Union Bank’s core regional banking operations from Mitsubishi UFJ Financial Group (MUFG) in a deal valued at $8bn.

The transaction comprises $5.5bn cash and around 44 million shares of US Bancorp common stock.

With the closure of the deal, Japan’s MUFG has exited the US retail banking market and acquired a minority stake of around 3% in US Bancorp.

For US Bancorp, the deal, which was announced in September 2021, will bolster its presence on the West Coast of the US, and expand its branch network and customer base.

MUFG Union Bank’s Global Corporate & Investment Bank, some middle and back-office functions, and other assets are not part of the transition.

US Bancorp chairman, president and CEO Andy Cecere said: “The acquisition of MUFG Union Bank underscores U.S. Bank’s commitment to creating economic opportunities for our customers and communities across the West Coast.

“The closing of this acquisition brings together two premier organizations and their teams who are focused on putting customers first.”

MUFG Americas CEO and regional executive Kevin Cronin said: “We are very pleased to bring the sale to completion, which enables MUFG to increase our focus and direct our resources on accelerating growth in our Americas wholesale businesses.”

The acquisition will take the Minneapolis-based US Bancorp’s total assets to $679.6bn and capital to $51.6bn, the OCC had said earlier.