EL PASO, Texas — GECU said it has entered into a definitive agreement to acquire substantially all the assets and all the liabilities of Roswell, N.M.-based Bank of the Southwest, which has 11 locations throughout New Mexico, in an all-cash transaction.
Terms of the acquisition were not released. The two institutions are approximately 200 miles apart.
Following completion of the acquisition, which is subject to approval from the NCUA, the FDIC and the New Mexico Financial Institutions Division, the $4.4-billion GECU said it will grow to approximately $4.7 billion in assets, and have more than 440,000 members.
Founded in 1992, Bank of the Southwest has $186.8 million in total assets and in addition to the 11 branches also has 12 ATMs.
GECU had $46.2 million in net income through Sept. 30, with net worth of 13.25%.
In a statement, GECU said members and customers will experience no immediate changes as the two organizations will operate independently, pending regulatory approval and satisfaction of other closing conditions. Upon completion of the transaction and systems integration, the combined organization will operate under GECU’s name. GECU President and CEO Crystal Long, will lead the new entity.
‘Vision of Expanding’
“We have a vision of expanding our positive impact to help even more people and families on their financial journey and this acquisition brings us closer to this mission,” Long said in a statement. “Bank of the Southwest has been a cornerstone of the New Mexico financial community, and we look forward to building on their legacy by offering our range of exceptional financial products and services and instilling our people helping people philosophy.”
Added Bank of the Southwest CEO K. Andrew Hogan in a statement, “We’re excited to join GECU as they expand in New Mexico. GECU’s commitment to employees, members, and communities aligns perfectly with our values at Bank of Southwest. Together we look forward to enhancing our ability to expand commercial lending and our offerings to more communities in New Mexico with GECU’s robust products and services and advanced technology solutions.”
