PARCHMENT, Mich.—$1.7-billion Advia CU here announced it intends to buy $155-million Golden Eagle Community Bank in Woodstock, Ill.
The deal, which still awaits bank shareholder and state and federal regulatory approval, when finalized would make Advia the first credit union to close three whole-bank buys. The transaction is expected to be completed in the first quarter of 2019, Advia stated.
Advia purchased Peoples Bank of Elkhorn, Wis., in 2017, and Mid America Bank in Janesville, Wis. in 2016.
Dunedin, Fla.-based Achieva CU, Five Star CU in Dothan, Ala., and IBM Southeast Employees CU, Delray Beach, Fla., are the only other credit unions to buy more than one bank.
Last year Eagle Community Bank earned $686,000, and has shown net income of $448,000 this year through Sept. 30, according to FDIC data.
“We are thrilled to have the opportunity to welcome the customers of Golden Eagle Community Bank as members of Advia Credit Union,” said Cheryl DeBoer, Advia president and CEO. “At Advia, our mission is to provide financial advantages to those we serve. We are growing our commercial-focused financial solutions, strengthening our local position in Northern Illinois, and have a well-rooted commitment to community involvement and volunteerism, similar to that of GECB.”
“Advia is a strong financial institution and we believe our employees, shareholders, and the community will all benefit from the proposed transaction,” added Steven Finzel, president, CEO and CFO of Golden Eagle, in a statement. “In addition to their size and resources, Advia has the proven ability to provide competitive and innovative products to our consumer and commercial clients, with focus on their overall financial wellbeing.”
32 Offices Across Three States
By adding Golden Eagle’s three locations, Advia will serve more than 160,000 members with 32 branches in Illinois, Michigan, and Wisconsin.
“As a member-owned, not-for-profit financial cooperative, we are focused on building long-lasting, rewarding relationships with our members, helping them save more and enjoy easy access to financial services. We’re able to contribute to our communities and give back to our member owners in the form of better technology, innovative services and excellent deposit and loan rates,” added DeBoer. “We strive to serve our members holistically with convenient digital services, a competitive mix of great savings options, 3% checking, low-rate loans, and a variety of mortgage options, all while keeping people at the core of everything we do.”
“Advia is top of class in this space and executes this non-organic growth strategy with focus and precision,” said Michael Bell, attorney and counselor at Royal-Oak, Mich.-based Howard & Howard, who represents Advia and who has been part of 24 CU/bank deals, including three mergers of a bank into a credit union.