Advia to Add Another Michigan Credit Union
The merger with Riverview Community FCU will be the fourth largest since 2016.
Advia Credit Union is reaching nearly 200 miles across southern Michigan to acquire a small credit union near the Canadian border, marking its fourth merger in four years.
Members of Riverview Community Federal Credit Union of Saint Clair, Mich. ($30.4 million in assets, 3,479 members) will receive a voting ballot packet by mail this month, and can attend a special meeting on the merger Feb. 20. If approved, Riverview Community would become part of Advia in April.
Advia, of Parchment, Mich. ($2 billion in assets, 166,200 members), plans to keep Riverview Community’s single branch in St. Clair open, and its staff intact, according to a joint statement on Riverview Community’s website from President/CEO Mark Fisher and Board Chair David Liniarski.
“This is a proposed partnership of two very healthy, locally operating credit unions,” they wrote. “By partnering with Advia Credit Union, we will offer even better return to our members, including greater economies of scale, more financial solutions and the soundness of size — over $2 billion in assets, to be among the top 3% of credit unions in terms of asset size in the United States.”
The St. Clair branch acquired from Riverview Community is within 20 miles of existing Advia branches in Marysville, New Baltimore, Port Huron and Fort Gratiot.
Riverview Community had $47,990 in net income for nine months ending Sept. 30, an improvement from its $89,114 net loss in the first nine months of 2018. Its net worth was $2.7 million as of Sept. 30, up 5.2% from a year earlier. Its net worth ratio was 8.79% up 7 basis points.
Advia, based just north of Kalamazoo, earned $14.1 million in the 12 months that ended Dec. 31, up 53.2% from 2018. ROA rose 20 basis points to 0.74%. It ended the year with a net worth ratio of 9.70%, down from 10.95% a year earlier.
In the past year, Advia’s membership grew 9.2% and its assets grew 19.2% — in part reflecting previous mergers:
- Golden Eagle Community Bank of Woodstock, Ill. ($171.4 million in assets) in 2019;
- Peoples Bank in Elkhorn, Wis. ($226.6 million) in 2017; and
- Mid America Bank of Janesville, Wis. ($81.3 million) in 2016.