Alabama ONE Credit Union of Tuscaloosa has agreed to buy First Bank of Linden, the banking subsidiary of First Linden Bancshares.

Transaction highlights

The takeover will boost the credit union’s assets to $825m.

The deal value was not made public.

The transaction awaits approval by shareholders and regulators.

It already received the approval of the two companies’ boards.

It is expected to wrap up by the second quarter of next year.

Set up in 1904, First Bank of Linden manages over $80m in assets.

Alabama One CEO Bill Wells said: “We are delighted to partner with First Bank of Linden, especially as they share our focus on running a high-quality, low-risk institution with a strong commitment to both the community and to our customers.”

Wells also said that the deal bolsters the credit union’s west Alabama presence, which it considers “strategically important”.

Credit union developments

Earlier this year, Alabama Rural Electric Credit Union (ARECU) unveiled a merger with Alabama ONE Credit Union.

Moreover, Alaska USA Federal Credit Union entered into an agreement to acquire TCF Bank’s seven branches located in the greater Phoenix, Arizona.

Meanwhile, CUSO Financial Services extended its multi-year contract with Wescom Financial Services, a unit of Wescom Credit Union.

Besides, Teachers Federal Credit Union forged a strategic partnership with fintech firm Happy Money to help customers easily repay credit card debt.

In August 2019, Indiana Members Credit Union announced the purchase of the assets and liabilities of Commerce Bank from First Light Bancorp.

Last April, Teachers Credit Union signed an agreement to buy New Buffalo Savings Bank from New Bancorp.