The state Division of Banks is considering an application to merge Greenfield Co-operative Bank and Northampton Cooperative Bank into a single cooperative.

The deal, which is expected to be completed during the first quarter this year, will bring the combined entity to just over $500 million in assets, more than $60 million in capital and 95 employees. The chief executives of both banks have previously affirmed that there will be no layoffs resulting from the merger.

At a special meeting last fall, 88 percent of the depositors at Northampton Cooperative approved the merger.

The combined bank will operate under the Greenfield Co-operative Bank charter and will have 10 full-service locations and 11 ATMs in the Franklin and Hampshire counties. The Northampton Cooperative name will continue to be used on all the bank’s current and future offices in Hampshire County, as a division of Greenfield Co-operative Bank.

William Stapleton, currently president and CEO of Northampton Cooperative, will serve as CEO of the holding company and chairman of the combined bank, with Michael E. Tucker, now president and CEO of Greenfield Co-operative, will remain president of the holding company and president and CEO of the combined bank. The bank and holding company boards will include the members of both bank boards to assure continuity of both institutions.