WESTMINSTER, CO and WARRENVILLE, IL (July 30, 2014) -- System United Corporate Federal Credit Union (SunCorp) today publicly announced its intent to merge with Alloya Corporate Federal Credit Union (Alloya) headquartered in Warrenville, Illinois. SunCorp President/CEO Tom Graham reported that this announcement comes after “an extensive process of strategic planning and due diligence by the SunCorp Board, aimed at finding the best means to deliver excellent cooperative financial services to SunCorp members. The board and management clearly saw Alloya as the best partner to help our members grow and succeed in today’s competitive marketplace.”
Greg Hill, Chairman of SunCorp’s Board of Directors, spoke proudly of SunCorp’s progressive history of providing the best possible financial and correspondent services to members and SunCorp member’s loyalty and support, which allowed SunCorp to be fully capitalized under the NCUA’s new regulations. “Our track record for the past 30 plus years exemplifies SunCorp’s commitment to offer the very best in balance sheet and payment system solutions to our members. This merger with Alloya continues our commitment to offer the very best in cooperative financial products and services.”
While today’s announcement places the board’s intent to merge in the public spotlight, the members and the National Credit Union Administration must first approve the merger before it can proceed. Graham expects that the member vote could occur in the February 2015 timeframe, shortly after regulatory approval could be received. Prior to voting and the approval process, SunCorp plans to host multiple town hall meetings throughout the Rocky Mountain region.
Alloya’s President/CEO, Todd Adams, welcomed the new partnership, saying “This merger with SunCorp clearly enhances the value that all of our members will receive. Combining both organizations strengthens Alloya and helps us to assure a continued, long-term cooperative value to all credit union members from coast to coast. Retaining many key staff of SunCorp also enhances our leadership and service delivery strengths, including member contact staff in all four U.S. continental time zones.”
Amy Sink, Alloya’s Chairman of the Board added, “We are honored to be chosen by SunCorp to serve their members. SunCorp has a distinguished history and many strengths that will add to Alloya’s membership.”
As part of the merger agreement, Alloya has committed to retaining SunCorp’s office and presence in Denver. They have also made commitments to retain member facing staff to further grow relationships with SunCorp’s members in Colorado, Utah, Wyoming, Nebraska, and California. Both boards have agreed to governance provisions for the combination that include two board seats, and committee representation from former SunCorp board members. Amy Sink said, “Representation from the Rocky Mountain region is important to Alloya’s Board and leadership, and we welcome the talent and experience from the SunCorp Board.”
The next step after the completion of due diligence would be the execution of a definitive merger agreement by both Corporates and submission of an application for merger to the NCUA. The merger would be subject to the approval of the members of SunCorp and the regulator.
About SunCorp
SunCorp is System United Corporate Federal Credit Union, a full-service financial cooperative serving credit unions, CUSOs, and credit union associations throughout the Western States. SunCorp provides payment services, free lines-of-credit, and investments delivered with superior member service and the benefits of cooperative ownership and pricing. For more information, please visit www.suncorp.coop.
About Alloya Corporate FCU
Alloya provides critical cooperative services to 1,500 member credit unions in ten core states and beyond, including investment, financial, lending and correspondent services. Headquartered in Warrenville, Illinois, Alloya offers a dependable and affordable line of credit, secure and efficient product access and settlement, and unparalleled member service to its members. To learn more, visit www.alloyacorp.org.