The Federal Reserve said Monday, December 11, it unconditionally approved the $36 billion merger of Chase Manhattan Corp. and JP Morgan.
In a statement, the Fed said that the merger "would not be likely to result in a significantly adverse effect on competition or on the concentration of banking resources in any of the banking markets in which Chase and Morgan compete directly or in any other relevant banking market."
The merged group would rank behind only Citigroup, with $800 billion in assets, and Bank of America, with $680 billion.
The merger still needs to be cleared by the New York State Banking Department, which regulates all of the state's banking institutions.
A spokeswoman for the New York State Banking Department said its board is due to meet on Thursday and added that the merger is likely to be on the agenda for discussion.
The merged company will be called JP Morgan Chase Co.
Shareholders of both companies are due to vote on the transaction December 22.— (AFP)
© Agence France Presse 2000
© 2000 Mena Report (www.menareport.com)