First Merchants clears final approval for First Savings merger

First Merchants ( (FRME) ) has provided an announcement.

First Merchants Corporation announced that on January 15, 2026, it received a non-objection from the Federal Reserve Bank of Chicago to its waiver request tied to the pending merger with First Savings Financial Group, Inc., clearing the last remaining regulatory hurdle. The transaction, governed by a merger agreement signed on September 24, 2025, had already secured approvals from the Federal Deposit Insurance Corporation, the Indiana Department of Financial Institutions, the boards of both companies in September 2025, and First Savings’ shareholders on December 19, 2025; with all regulatory and corporate approvals in place, the parties now expect the merger to become effective on February 1, 2026, subject only to customary closing conditions, positioning First Merchants for an expanded footprint and enhanced scale in its regional banking markets.

The most recent analyst rating on (FRME) stock is a Buy with a $44.00 price target. To see the full list of analyst forecasts on First Merchants stock, see the FRME Stock Forecast page.

Spark’s Take on FRME Stock

According to Spark, TipRanks’ AI Analyst, FRME is a Outperform.

FRME scores well primarily due to strong financial performance (growth and profitability) and attractive valuation (low P/E with a solid yield). Technicals are supportive with a positive trend and moderate momentum. The latest earnings call adds confidence via strong operating metrics and strategic acquisition plans, tempered by deposit cost pressure and rate-cut sensitivity.

To see Spark’s full report on FRME stock, click here.

More about First Merchants

First Merchants Corporation is a financial services holding company operating in the banking industry, providing commercial and consumer banking products and related financial services through its bank subsidiaries, with a regional focus in the U.S. Midwest.

Average Trading Volume: 262,177

Technical Sentiment Signal: Strong Buy

Current Market Cap: $2.19B

For a thorough assessment of FRME stock, go to TipRanks’ Stock Analysis page.