CALIFORNIA: The National Diversity Coalition, an umbrella group of community organizations based in Daly City, announced in a letter to federal officials that it has withdrawn its opposition to the deal. When deciding whether to sign off on bank mergers, regulators judge banks on their compliance with the Community Reinvestment Act, which requires lenders to serve small businesses and minority communities. Opposition from community advocacy groups can kill a deal or at least stretch out the timeline for a deal’s completion.
San Francisco’s California Reinvestment Coalition, a key One West-CIT opponent, and a handful of other groups opted to support the City National-RBC deal after City National announced an $11 billion Community Reinvestment Act plan in late April, but the National Diversity Coalition remained opposed.