Maine Credit Unions Call Off Merger

Consolidation discussions ended amicably between Midcoast Federal Credit Union and Maine State Credit Union. Proposed plans have been called off to merge the $217 million Midcoast in Freeport with the $531 million Maine State CU in Augusta.

According to a regulatory filing with Maine’s Bureau of Financial Institutions, Maine State CU withdrew its merger application on March 17.

“Having recently achieved regulatory approval to advance to a vote of the members, both organizations took stock of the current merger status and agreed that proceeding was not in the best interests of the members and employees,” Midcoast CU President/CEO Joe Gervais said in a prepared statement posted on the credit union’s website earlier this week.

In the prepared statement, Maine State CU’s Tucker Cole said throughout the proposed merger process both institutions set a high bar in their definition of a successful partnership, and they were equally uncompromising when the result appeared to fall short.

“Our discussions ended amicably, and we will continue to work together to promote the value of credit unions for Maine consumers,” he said.

This is the first credit union merger that has been called off so far this year.