Elgin, Ill.-based Corporate America Family Credit Union is buying Ben Franklin Financial, Inc., and its subsidiary Ben Franklin Bank of Illinois in Arlington Heights.
As of March 31, Ben Franklin Bank operated two bank branches in Arlington Heights and Rolling Meadows, Ill., and had $93.2 million in assets. This acquisition will increase CAFCU’s total number of branches to 22 and total assets to approximately $700 million.
Ben Franklin Financial stockholders are currently estimated to receive between $10.33 and $10.70 per share in the deal, expected to close early next year.
Founded in 1893, Ben Franklin converted from a mutual bank in 2006 and had struggled in recent years. Operating under a consent order from the Office of the Comptroller of the Currency, it lost $215,000 in net operating income in 2018 and $872,000 in net operating income in 2017.
“We have spent a long time seeking to maximize stockholder value and believe that we have negotiated an outstanding transaction for our stockholders,” said We are enthusiastic about our consolidation with Corporate America Family Credit Union as it significantly expands opportunities for our customers, our employees, and our community.”
CAFCU has seven offices in the Chicago area as well as branches in Arizona, California, Connecticut, Georgia, Kansas, North Carolina, Ohio, Pennsylvania, Texas and Virginia.
Most recently, Michigan’s Advia Credit Union bought Golden Eagle Community Bank in Woodstock, Ill., earlier this year.