Wayzata-based TCF Financial Corp. on Tuesday said it’s received government approval to merge with Detroit-based Chemical Financial Corp.
In a joint announcement, the companies said they’ve received regulatory clearance for the merger from the Federal Reserve System’s board of governors.
The news follows recent approvals from the Office of the Comptroller of Currency and shareholders from both companies. The banks expect to close on the merger on Aug. 1.
The two companies first announced plans for the merger in late January.
At the time, TCF chairman and CEO Craig Dahl told TCB there would be "very little branch overlap," between the two financial institutions. TCF has 314 branches in Arizona, Colorado, Michigan, Minnesota, South Dakota, and Wisconsin, while Chemical operates 212 branches in Michigan, Ohio, and Indiana.
The deal has been described as a “merger of equals,” though the combined company will operate as TCF Financial Corp. TCF shareholders will own 54 percent of the new company, while Chemical Financial shareholders will own the remainder.
When the merger is completed, the new company is expected to have more than $46 billion in total assets. Based on deposit market share, the new company will rank among the top 10 banks in the Midwest, according to the companies.
Dahl will serve as CEO and president of the new company.