United Federal Credit Union in St. Joseph, Mich., has agreed to acquire Edgewater Bank, St. Joseph.
The $249 million Edgewater has five branches in Berrien County and two LPOs in Fremont and Greenville, Mich. It had $168 million in net loans and leases and $176 million in deposits as of June 30.
United currently operates 37 branches in Arkansas, Indiana, Michigan, Nevada, North Carolina and Ohio; it has more than 177,000 members. The deal will increase United’s total number of branches to 41 and total assets to approximately $3.5 billion.
The deal is expected to close in spring 2021, after which Edgewater’s Buchanan, Mich., branch will be merged with the United office in that town.
“We believe this is an ideal fit, as we are both deeply engaged in the communities we serve, have a strong organizational culture, and strong commitment to our members’ and customers’ financial wellness,” said United President and CEO Terry O’Rourke in a release. “Our two organizations are one hundred percent committed to local decision making, local investment and local involvement and we both want to fortify that real local focus.”
Edgewater stockholders will receive between $39.47 and $43.22 in cash consideration for each share of Edgewater common stock, the bank said.
“We are thrilled about our new partnership with United Federal Credit Union because of the expanded opportunities it brings to our customers, our employees, and our communities,” said Rick Dyer, president and CEO of Edgewater Bank.
Dyer is expected to join United following close of the deal.
United has been assisted by Michael Bell with Honigman LLP and Charley McQueen with McQueen Financial Advisors. Edgewater was advised by Luse Gorman, PC and Donnelly Penman & Partners.