WARRENVILLE, Ill., and SOUTHFIELD, Mich. (Filed 2:15 p.m. CDT 4/4/13)--The members of $1.4 billion Central Corporate CU (CenCorp) today voted overwhelmingly in favor of its proposed merger with $1.4 billion Alloya Corporate FCU.
The vote was 190 to 8. This follows the National Credit Union Administration's approval of the merger on March 14. The effective date of the merger is April 30.
"This merger adds 300 members to Alloya's current membership, plus significant scale," noted Charles W. Furbee, Alloya's current CEO. "Alloya is well-positioned for continuing success."
"We are excited about the synergies that the merger brings," stated William A. Walby, current CEO of CenCorp. Walby will be Alloya's CEO after the merger. "Members saw additional value in combining two strong credit union-owned organizations to deliver their financial and correspondent service needs into the future."
As the synergies are realized, the annual expenses of the combined corporate are expected to fall by several million dollars, while adding products and features. The increased scale will create additional opportunities, said the corporates.
The combined corporate will conduct business in 10 core states, providing investment, financial, lending and correspondent services to more than 1,400 member-owner credit unions. Headquartered in Warrenville, Ill., Alloya will also conduct major operations from offices in Southfield, Mich., and Albany, N.Y.
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