Fed approves Allegiance, CBTX merger

Allegiance Bancshares and CBTX have received approval from the Federal Reserve three weeks after moving the deadline for the Houston companies’ merger. 

The companies, which plan to rebrand as Stellar Bancorp, announced their merger in November. They disclosed late last month that they had pushed the termination date back from Aug. 2 to Nov. 1. 

The Fed noted in its approval that the companies had agreed to create an action plan for making more mortgages to African-Americans. The plan was required by the Federal Deposit Insurance Corp. as part of its approval last summer. 

Stellar will have more than $10 billion of assets when the deal is completed. The companies said they expect the deal to close on Oct. 1.