The Federal Deposit Insurance Corporation approved the proposed merger of First Citizens BancShares, the parent company of First Citizens Bank & Trust Company, and CIT Group, the parent company of CIT Bank. The merger already received approval from the Office of the North Carolina Commissioner of Banks.

Completion of the proposed merger remains subject to approval from the board of governors of the Federal Reserve System, and closing is expected in Q3/21, subject to such approval and the satisfaction or waiver of other customary closing conditions.

“This key step moves us closer to the completion of our proposed merger transaction, and we remain excited about future opportunities ahead,” Frank B. Holding Jr., chairman and CEO of First Citizens, said.

“We’re pleased to receive FDIC approval as we continue to work together toward the successful combination of our two companies,” Ellen R. Alemany, chairwoman and CEO of CIT, said.

When completed, the combined company will operate under the First Citizens name and establish a top 20 bank in the U.S. based on assets.