OceanFirst and Flushing Financial Secure Final Federal Approval for Merger

RED BANK, N.J. — OceanFirst Financial Corp. and Flushing Financial Corporation announced on April 27, 2026, that they have received the final necessary regulatory approval to proceed with their planned merger. The Board of Governors of the Federal Reserve System granted its approval on April 24, clearing the last significant hurdle for the deal, which is now expected to close by June 1, 2026. The Federal Reserve’s decision follows a series of prior approvals required for the transaction. Shareholders for both OceanFirst (NASDAQ: OCFC) and Flushing (NASDAQ: FFIC) approved the merger on April 2, 2026. Additionally, the New York State Department of Financial Services gave its consent on March 23, and the Office of the Comptroller of the Currency (OCC) approved the plan on April 6. With these state and federal regulatory and shareholder approvals now in place, the two banking institutions are set to combine, with Flushing merging into OceanFirst. While the creation of a larger regional bank can offer expanded services, we often see significant disruption for small and mid-sized business clients during these transitions. Existing banking relationships, which are critical for securing lines of credit and favorable terms, can be upended overnight. Relationship managers change, credit approval processes are centralized, and lending priorities can shift away from the local businesses that were once the core focus of a smaller community bank. This period of uncertainty is precisely when a proactive financial strategy becomes essential. Businesses should not wait to see how the dust settles; they need to reassess their capital structure and financing relationships immediately. For companies navigating this landscape, developing a robust capital raising and investor strategy is key to ensuring stability and continued growth. At C&S Finance Group LLC, we specialize in helping businesses secure the financing they need, independent of turmoil in the traditional banking sector. Business owners can learn more at csfinancegroup.com. The merger agreement, originally dated December 29, 2025, outlines the combination of the two holding companies as well as their respective banking subsidiaries, OceanFirst Bank N.A. and Flushing Bank. The transaction involves a wholly-owned subsidiary of OceanFirst, named Apollo Merger Sub Corp., which will facilitate the absorption of Flushing Financial Corporation. This consolidation is part of a broader trend in the regional banking sector, where institutions seek to gain scale, enhance their technological capabilities, and expand their geographic footprint to compete more effectively with national megabanks. For small and mid-sized businesses that currently bank with either OceanFirst or Flushing, the merger will bring tangible changes. The combined entity will operate under the OceanFirst brand, creating a larger financial institution with a more extensive network of branches and a larger balance sheet. This increased scale can translate into a broader array of products and services, including more sophisticated cash management tools and larger lending capacities. However, business customers may also face challenges during the integration period. Changes in account numbers, online banking platforms, and local branch personnel are common during such transitions. More strategically, the lending criteria and risk appetite of the newly combined bank may differ from what customers were accustomed to, potentially affecting existing lines of credit or future loan applications. Business owners should anticipate a period of adjustment as the two organizations integrate their operations, systems, and corporate cultures. Communication from the bank regarding specific changes to accounts and services will be critical. The merger's success will largely depend on how smoothly this integration is managed and how effectively the new, larger bank retains the local relationships and community focus that are often the hallmark of regional and community banks. The combination of OceanFirst, headquartered in New Jersey, and Flushing, based in New York, creates a significant banking presence in the greater New York metropolitan area. The finalization of the merger is subject to the satisfaction or waiver of remaining customary closing conditions as stipulated in the merger agreement. Both companies have expressed confidence that these conditions will be met, allowing for a closing on or before the June 1 target date. Following the official closing, stakeholders and customers will be watching closely to see how the integrated bank manages its operations and client relationships. Key developments will include announcements regarding the leadership structure of the combined entity, any potential branch consolidations, and the rollout of a unified product and service platform for all customers.