The approval was received from the Federal Reserve Board, the Office of the Comptroller of the Currency (OCC) and all required state regulators for the acquisition which was originally announced on 22 July 2014.
With about $23bn in assets, including commercial and residential mortgage loans OneWest Bank operates 73 retail branches in Southern California.
Upon closing of the transaction, which is expected to take place on 3 August, CIT’s banking subsidiary CIT Bank will merge with OneWest Bank and CIT will have assets of $67bn in addition to deposits of $28bn.
CIT chairman and chief executive officer John Thain said: "We are pleased to receive regulatory approval as we look to complete our acquisition of OneWest Bank.
"We welcome OneWest employees to CIT and we look forward to working with them to meet the needs of small and middle market businesses, the transportation industry, real estate sector and our retail bank customers."
Following the transaction, CIT Bank will merge with and into OneWest Bank and operate an internet banking franchise.
In addition, the company will operate a network of 70 retail branches throughout Southern California.
The transaction is expected to combine CIT’s national lending platform with OneWest’s regional branch banking network.
Last year, CIT said that IMB Holdco shareholders will receive $2bn in cash and 31.3 million shares of CIT Group common stock that is valued at $1.4bn at present as per the agreement terms.
Image: OneWest Bank headquarters at 888 E. Walnut Street in Pasadena, California. Photo: courtesy of Coolcaesar
