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Title 12 — Banks and BankingRelease 119-73not60

§5363 Acquisitions

Title 12 › Chapter 53— WALL STREET REFORM AND CONSUMER PROTECTION › Subchapter I— FINANCIAL STABILITY › Part C— Additional Board of Governors Authority for Certain Nonbank Financial Companies and Bank Holding Companies › § 5363

Last updated Apr 3, 2026|Official source

Summary

A nonbank financial company that the Federal Reserve Board supervises must be treated like a bank holding company for the relevant rules. If a bank holding company with total assets of $250,000,000,000 or more, or a supervised nonbank firm, wants to buy voting control of a nonbank company that does certain financial activities and has $10,000,000,000 or more in assets, it must give the Board written notice before the deal. This does not apply to purchases covered by existing exemptions. The Board will follow its notice process and will consider whether the deal would raise risks to U.S. or global financial stability. For another law, these deals are treated as if Board approval is not required.

Full Legal Text

Title 12, §5363

Banks and Banking — Source: USLM XML via OLRC

(a)For purposes of section 1842 of this title, a nonbank financial company supervised by the Board of Governors shall be deemed to be, and shall be treated as, a bank holding company.
(b)(1)Notwithstanding section 1843(k)(6)(B) of this title, a bank holding company with total consolidated assets equal to or greater than $250,000,000,000 or a nonbank financial company supervised by the Board of Governors shall not acquire direct or indirect ownership or control of any voting shares of any company (other than an insured depository institution) that is engaged in activities described in section 1843(k) of this title having total consolidated assets of $10,000,000,000 or more, without providing written notice to the Board of Governors in advance of the transaction.
(2)The prior notice requirement in paragraph (1) shall not apply with regard to the acquisition of shares that would qualify for the exemptions in section 1843(c) of this title or section 1843(k)(4)(E) of this title.
(3)The notice procedures set forth in section 1843(j)(1) of this title, without regard to section 1843(j)(3) of this title, shall apply to an acquisition of any company (other than an insured depository institution) by a bank holding company with total consolidated assets equal to or greater than $250,000,000,000 or a nonbank financial company supervised by the Board of Governors, as described in paragraph (1), including any such company engaged in activities described in section 1843(k) of this title.
(4)In addition to the standards provided in section 1843(j)(2) of this title, the Board of Governors shall consider the extent to which the proposed acquisition would result in greater or more concentrated risks to global or United States financial stability or the United States economy.
(5)Solely for purposes of section 18a(c)(8) of title 15, the transactions subject to the requirements of paragraph (1) shall be treated as if Board of Governors approval is not required.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

2018—Subsec. (b)(1), (3). Pub. L. 115–174 substituted “$250,000,000,000” for “$50,000,000,000”.

Statutory Notes and Related Subsidiaries

Effective Date

of 2018 AmendmentExcept as otherwise provided, amendment by Pub. L. 115–174 effective 18 months after May 24, 2018, see section 401(d) of Pub. L. 115–174, set out as a note under section 5365 of this title.

Construction

of 2018 AmendmentFor

Construction

of amendment by Pub. L. 115–174 as applied to certain foreign banking organizations, see section 401(g) of Pub. L. 115–174, set out as a note under section 5365 of this title.

Reference

Citations & Metadata

Citation

12 U.S.C. § 5363

Title 12 — Banks and Banking

Last Updated

Apr 3, 2026

Release point: 119-73not60