The $975 million Elevations Credit Union of Boulder, Colo. is making plans to merge the nearby $80 million St. Vrain Valley CU of Longmont, extending Elevations’ expansion in metropolitan Denver.
Both CUs were pronounced healthy and well capitalized and chose the merger route to expand a product line which would provide mortgages to St. Vrain members.
Elevations is the state’s fifth largest CU.
The planned merger is subject to approval of the St. Vrain membership and regulators.
“We see this as a natural fit both culturally and geographically,” said Carroll Beach, the Elevations chairman, noting both CUs retain “the same core values.”
The merger is slated to become effective Oct. 1 and would give Elevations three new branches for a total of 11.
“In spite of the challenges in the economy, both Elevations and St. Vrain are financially strong as both organizations have capital ratios exceeding 9%,” said Gerry Agnes, president/CEO of Elevations.
St. Vrain was established in 1954 as Longmont’s first CU and serves more than 9,400 members. Elevations has 85,000 members and was formed in 1952 to serve faculty and staff at the University of Colorado.
Eva Gaudio, president/CEO of St. Vrain, will join Elevations’ senior executive team and two SVCCU board members will sit on a combined board, the credit unions said in statement. Full integration of the two operations would take place in the spring of 2012.