PNC Bank has announced they will acquire National City Corp for $5.6 billion. National City has been in trouble for awhile. CNN also reports:

Making the announcement before Friday’s opening bell, Pittsburgh-based PNC said it would also get a capital injection from the government by selling $7.7 billion worth of preferred stock as part of a federal program aimed at propping up the nation’s banking system.

After the announcement, shares of both banks declined, 5% for PNC and 30% for National City, but pretty much every stock is taking a beating today, so it’s tough to see if this sale is having an effect.

This move will make PNC the fifth-largest U.S. Bank based on deposits.