Advia credit union keeps bank buying spree going

Advia Credit Union of Parchment, Mich., announced it plans to purchase another community bank. The $1.7 billion credit union announced Nov. 14 that it is buying the $155 million Golden Eagle Community Bank, Woodstock, Ill. The deal is expected to close in the second quarter of 2019.

Advia Credit Union purchased the People Bank in Elkhorn, Wis., in 2017 and the MidAmerica Bank in Janesville, Wis., in 2016.

Cheryl DeBoer, Advia’s president and CEO, commented: “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. We strive to serve our members holistically with convenient digital services; a competitive mix of great savings options, 3 percent checking, low-rate loans; and a variety of mortgage options…”

“Advia is a strong financial institution and we believe our employees, shareholders, and the community will all benefit from the proposed transaction,” said Steven Finzel, President, CEO and chief financial officer of Golden Eagle Community Bank. “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 well-being.”

Golden Eagle Community Bank will add three offices to the 29 offices Advia currently has in Illinois, Michigan and Wisconsin. The Golden Eagle Community Bank offices are in Woodstock, Cary and Crystal Lake, Ill. Advia Credit Union has nearly 600 employees.

Golden Eagle Community Bank reported a return on assets ratio of 0.45 percent for all of 2017. Its return on equity ratio for 2017 was 4.11 percent. According to the FDIC website, at year-end 2017, the bank had 94 commercial and industrial loans of $1 million or less on its books; it had 105 loans secured by non-farm, non-residential properties of less than $1 million.

The transaction is subject to regulatory and shareholder approval.

Michael Bell of Howard & Howard, who advised Advia on its 2016 and 2017 purchases, provided legal counsel to Advia on the deal. Mercer Capital serves as Advia’s financial advisor. Dennis Wendte of Barack Ferrazzano Kirschbaum & Nagelberg LLP serves as Golden Eagle Community Bank’s legal advisor; Hovde Group LLC serves as its financial advisor.