March 17 (Reuters) - Bank of Montreal ( NRGD ) said on

Tuesday it plans to open more than 130 financial centers in

California and about 15 in Arizona over the next five years, as

it looks to expand presence in the U.S. West following the sale

of several branches across the nation last year.

BMO, the third-largest Canadian bank by market value, said

in October it would sell 138 branches to First Citizens Bank,

and reinvest in markets with stronger client engagement and

longer-term growth prospects.

As part of its growth strategy, the bank said it would

open 150 new branches over the next five years, with a focus on

U.S. markets, largely California-centric.

Some of the biggest U.S. banks have invested in building

branches in affluent areas to attract more clients, earn

consumer trust and provide higher-value services such as

mortgages and wealth management.

In 2023, Bank of Montreal ( NRGD ) acquired BNP Paribas' U.S. unit,

Bank of the West, for $16.3 billion, in its biggest deal ever,

to gain access to nearly 2 million customers, about 500 retail

branches, and commercial and wealth offices across the Midwest

and Western United States.

The bank plans to open three new financial centers in

Greater Los Angeles, two in the Bay Area and another two in San

Diego in 2026. The expansion will create hundreds of jobs and

will expand access to in-person and advice-led banking, the

lender said.

BMO operates more than 220 financial centers across

California, and the planned additions would increase its

footprint in the state by more than 50%.

Shares of BMO have gained a little over 7% so far in 2026,

outperforming its larger peer, Royal Bank of Canada ( RY ).

(Reporting by Pritam Biswas in Bengaluru and Nivedita Balu in

Toronto; Editing by Shinjini Ganguli)