- March 28, 2024
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NAPLES — Grand Rapids, Mich.-based Lake Michigan Credit Union signed a definitive agreement to acquire Encore Bank of Naples.
According to a press release, the combined entity will have about $5.6 billion in assets, over $9 billion in serviced mortgages, 10 branches in Florida and over 40 branches in Michigan. The board of directors of each company approved the agreement. The acquisition is expected to be complete in the first quarter of 2018.
Encore Bank CEO Tom Ray will stay on as regional president of Lake Michigan Credit Union of Florida after the acquisition.
“We are delighted that Encore Bank has agreed to join with Lake Michigan Credit Union, to help strengthen and expand our presence in the growing Southwest Florida region,” says Lake Michigan Credit Union President and CEO Sandy Jelinski in a statement.
Lake Michigan Credit Union was founded in 1933. It has a staff of over 1,000 and assets exceeding $5.2 billion, according to a press release. It has over 360,000 members and 42 branches, including four in Southwest Florida. Encore Bank was founded in 2010. It has about $400 million in assets and six branches in Southwest Florida.
The acquisition is the second time in the past two years a credit union has acquired a bank in the region. In 2015, Dunedin-based Achieva Credit Union acquired Punta Gorda-based Calusa Bank. Achieva paid $23.2 million for Calusa, or 1.36 price-to-book value, in a deal considered the first whole-bank acquisition of a bank by a credit union nationwide.