OneWest Bank announced Friday afternoon that it purchased the banking operations of First Federal Bank of California from the Federal Deposit Insurance Corporation (FDIC).

Under the terms of the transaction, OneWest acquired $6.1 billion in assets, including $5.3 billion in loans, and $4.5 billion in deposits of First Fed.  OneWest also picks up 72 branches in the Los Angeles area and over $11 billion of deposits and creates one of the largest Southern California headquartered banks.

“This transaction is consistent with our strategy to expand the OneWest footprint in our home market of Southern California,” said OneWest Bank’s Chairman Steven Mnuchin.

“We are committed to continue providing First Fed customers with the same high level of service they have received at First Fed over the past 80 years and we welcome them to OneWest Bank,” added Terry Laughlin, CEO & President of OneWest Bank.

The FDIC estimates the failure of First Federal Bank of California will cost the deposit insurance fund $146.3 million.

OneWest Bank purchased reverse mortgage lender Financial Freedom in March.