SURREY, B.C.–Three credit unions in British Columbia are proposing to merge and create a behemoth CU of nearly $40 billion in assets, while continuing to operate under their individual brands.
Coast Capital Credit Union, Prospera CU and Sunshine Coast Credit Union said they are looking to create “Canada’s largest national-purpose credit union.”
If the merger is approved and completed, the combined CU would have more than $38.6 billion in assets, 2,500 employees, 730,000 members and 70 branches across the Lower Mainland, Vancouver Island, the South Sunshine Coast and the Okanagan.
VanCity Credit Union, also headquartered in British Columbia, is the country’s largest CU.
‘Unwavering Belief’
“With combined strength comes the ability to invest in more products, services and digital banking technology,” the credit unions said. “Foundational to the credit unions’ intent to merge is an unwavering belief that coming together will strengthen the ability to continue to make a meaningful impact on the lives of members, employees and communities and build resilience for cooperative banking in Canada,” the credit unions said in a statement. “The combined credit union will have increased scale and expects to advance investments in more competitive products and services, enhanced digital banking technology and tools, and initiatives that strengthen and uplift local communities.
‘Precedent-Setting’
“As consolidation in the credit union industry becomes increasingly common, this precedent-setting merger brings together two provincial credit unions and a federal credit union. Prospera and Sunshine Coast credit unions currently operate under BC provincial regulation,” the statement continued. “They will transition to federal regulation in a process called continuance and then immediately merge with Coast Capital to become a BC-headquartered federally regulated credit union. This will provide important benefits, including the ability to serve business and personal banking members as they move and grow outside BC. The merger also forms a strong, national cooperative alternative to the big banks, offering Canadians greater choice in banking.”
Brands to Continue
Following the merger, the combined credit union will continue to use the familiar Prospera, Coast Capital and Sunshine Coast brands, “ensuring a consistent experience for members,” the CUs said.
CEOs Issue Statements
“Our credit unions share an 80-year legacy and the same values of helping people and communities thrive,” Gavin Toy, president & CEO Prospera, said in a statement. “Together, we aspire to do even more—building on our strong foundation to provide more innovative and impactful financial solutions, along with personalized advice that truly prioritizes our members’ best interests. This merger is an opportunity to shape a stronger future for all of us.”
“As Canada’s largest national purpose-driven credit union, we’ll still be the same local, friendly team our members and communities count on,” Coast Capital President and CEO Calvin MacInnis said in a statement. “We’re proud of our strong credit union roots, and that will never change. We were built by members, for members and we’ll always be committed to their financial well-being and success.”
“This merger is built on a deep and unwavering commitment to our members, employees and the communities we are honored to be part of,” Sunshine Coast CU CEO Shelley McDade, CEO said in a statement. “Together, we’ll preserve and evolve the unique value of cooperative banking—people helping people, local perspective and community investment. At the same time, we’re excited that by coming together, we’ll be able to invest in the products, expertise and digital tools that meet our members’ needs today and for generations to come.”
What’s Next
The credit unions said they will release additional information in the coming weeks. Prospera and Sunshine Coast credit union members will vote on both the continuance and the merger. As Coast Capital is already federally regulated, its members will only vote on the merger. If successful, the credit unions said they will then seek regulatory approvals.
