The US co-op banking and credit union sectors are continuing their consolidation trend, including recent examples in Massachusetts and Oregon.
In Berkshires County, Massachusetts, the boards of Adams Community Bank and Pittsfield Cooperative Bank have unanimously approved a strategic merger.
Described by the banks as a “merger of equals”, the move brings together two banks with 300 years of combined history. Together, the combined institution will have approximately US$1.5bn in total assets, nearly 200 employees, and a network of full-service branches across the region.
“Both banks are coming together with a shared goal,” the organisations say in a release, “to continue serving the Berkshires as a locally focused community bank, with decision-making that remains here in the communities they serve.
“This merger reflects a shared commitment to community banking in the Berkshires. By coming together, the combined organisation will have greater capacity to invest in technology, products, and services, while continuing to support local businesses, individuals, and families.”
The merger is expected to be completed in fall 2026, pending regulatory approval. Additional updates, including the new name and brand, will be shared as the process moves forward.
Related: Canadian credit unions request regulatory nod for merger
Meanwhile, Washington state’s Gesa Credit Union is making its first move into Oregon with the acquisition of Salem-based Willamette Valley Bank.
In a joint statement, the organisations said the deal is “bringing two community-first institutions together to do more for the Willamette Valley than either could alone”.
Under the agreement, Gesa will acquire substantially all of Willamette Valley Bank’s assets and assume substantially all of its liabilities, in an all-cash transaction which has been unanimously approved by the boards of directors of Gesa Credit Union, Willamette Valley Bank, and Oregon Bancorp, Inc.
The acquisition is subject to regulatory approval and approval of the Oregon Bancorp, Inc. shareholders. The transaction is expected to be completed in the first half of 2027.
Following the completion of the transaction, Willamette Valley Bank and Oregon Bancorp, Inc. will dissolve and the remaining assets will be distributed to the stockholders of Oregon Bancorp, Inc. Subject to the terms of the agreement, shareholders are expected to receive an estimated $43 to $45 per share.
“Together,” the release adds, “the organisation would give the Willamette Valley a partner with the local roots of a community bank paired with the scale, products, and branch access of one of the Pacific Northwest’s largest credit unions. For Gesa, it would mean the credit union’s first retail branches in Oregon in its 73-year history.”
Related: Number of credit unions drops by 10% as consolidation trend continues
Gesa CEO Don Miller added: “In Willamette Valley Bank, we found people who believe what we believe, that a financial institution exists to support the people and communities it serves.
“As a co-operative, Gesa measures itself by what it gives back, and we look forward to bringing that commitment to the Willamette Valley, alongside the local team that has served these communities for a generation.”
Last year, that give back totaled $5.8m invested across the Pacific Northwest, with free financial education reaching more than 14,000 people and Gesa team members volunteering more than 9,400 hours.
“This partnership brings together two organisations that share a deep commitment to serving customers, supporting local communities, and building long-term relationships,” said Ryan Dempster, president and CEO of Willamette. “Joining forces with Gesa creates new opportunities to expand products, services and resources available to our customers while preserving the community-focused values that have defined Willamette Valley Bank for more than 25 years. We are proud of what our team has built and excited about the future we can create together.”
Launched in 2000, Willamette Valley Bank has approximately $465m in assets and $358m in deposits, four branches in Linn and Marion counties, and a loan office in Washington County. It was ranked first on American Banker’s Top 200 list of publicly traded community banks and thrifts under $2bn in assets for four consecutive years, the 2019 through 2022 lists.
Gesa is one of Washington’s largest credit unions, with approximately $6.8bn in assets and over 322,000 members across the Pacific Northwest. Founded in 1953 and headquartered in Richland, it is a full-service financial institution offering consumer, mortgage, business, and government-guaranteed lending products and services, and is the #1 SBA credit union lender in Washington for three consecutive years.
The credit union also operates student-run branches at Washington State University and high schools across Washington state. The Gesa Community Foundation, established in 2022, supports Gesa’s ongoing commitment to local communities through grants, youth scholarships, and free financial education resources.
