The US Federal Reserve and the Federal Deposit Insurance Corporation have approved the BB&T and SunTrust merger. The deal is the biggest combination between banks since the financial crisis of 2008.
The two companies announced the $66 billion merger in February. It will create Truist Financial Corporation and will become sixth-largest bank in the US. The new entity will have $425 billion in assets and serve over 10 million households.
“Clients will continue to be served through their respective BB&T or SunTrust branches, websites, mobile apps, financial advisers and relationship managers as systems are integrated,” the statement reads.
“The conversion to the Truist brand will occur over the next two years,” the two companies added.
Truist’s headquarters will be in Charlotte, North Carolina. The new company will still operate from out of BB&T and SunTrust’s headquarters.
BB&T CEO Kelly King will become CEO and chairman of the merged entity until September 2021. SunTrust CEO Bill Rogers will succeed King.
However, the Federal Reserve’s approval is conditional to the divestment of 30 BB&T branches. Also, BB&T must offload $2.4 billion-worth of deposits.
BB&T and SunTrust expect to close the transaction on December 6. The merger does not require further regulatory approvals.
Truist will trade under the ticker TFC on the New York Stock Exchange.