FAIRWINDS Credit Union Announces Proposed Bank Acquisition

The deal represents the third bank purchase by a Florida credit union in less than two months.

Orlando, Fla. (Image: Shutterstock).

The $2.3 billion FAIRWINDS Credit Union in Orlando, Fla. said Tuesday it intends to buy the $98 million Friends Bank in New Smyrna Beach, the third proposed bank acquisition made by a Florida credit union in less than two months.

Financial terms of the FAIRWINDS/Friends Bank deal were not disclosed.

Founded in 2000, Friends Bank serves more than 3,500 customers, employs 27 staff members, and operates three branches in Edgewater, New Smyrna Beach and Ormond Beach.

With $88 million in deposits and capital of $9.8 million, the bank posted a net income of $740,000 at the end of the third quarter, according to the FDIC. Friends Bank also recorded an ROA of 1.01% and a ROE of 10.47%.

If the transaction is completed, FAIRWINDS, which currently has branches in DeLand, Deltona and Orange City, will double its number of branch locations in Volusia County and establish a new presence in the county’s eastern region, expanding its Central Florida marketplace.

“As an organization with deep roots in Volusia County, Friends Bank shares FAIRWINDS’ values of personalized service and community commitment,” Larry Tobin, FAIRWINDS president/CEO said. “We’re excited to welcome our new members to the FAIRWINDS family.”

The acquisition, which is subject to regulatory and shareholder approval, is expected to be completed in the third quarter of 2019.

FAIRWINDS, Florida’s sixth largest credit union by assets, currently operates 33 branches and employs 537 staffers who serve more than 190,000 members.

Last month, the $1.8 billion Central Florida Educators Federal Credit Union in Lake Mary, Fla. announced its proposed acquisition of the $174 million Fidelity Bank of Florida in Merritt Island, and Florida’s second largest credit union, the $8.2 billion VyStar Credit Union in Jacksonville, inked an agreement to buy the $279 million Citizens State Bank in Perry.