AEA Federal Credit Union announces agreement to acquire West Valley National Bank

YUMA, AZ (November 7, 2023) — A.E.A. Federal Credit Union (“AEA”), headquartered in Yuma, Arizona, has entered into a purchase and assumption agreement with West Valley National Bank, headquartered in Goodyear, Arizona, and its parent holding company, West Valley Bancorp, Inc. (“West Valley Bancorp”). Pursuant to the agreement, AEA will purchase substantially all assets and assume substantially all liabilities of West Valley National Bank.

The transaction has been unanimously approved by the boards of directors of both institutions. Following the completion of the transaction, West Valley National Bank and West Valley Bancorp will each dissolve and liquidate, and all remaining assets will be distributed to West Valley Bancorp’s shareholders. When the transaction is finalized, the combined institution will have approximately $456 million in assets, and AEA will have seven branches in Arizona and one branch in Las Vegas, Nevada.

The acquisition is part of AEA’s strategy to expand its footprint in the Phoenix, Arizona region and into Nevada, diversify its assets, and add additional talent and expertise. West Valley National Bank customers who become members of AEA will have full access to all of AEA’s expansive product and service offerings.

Adele M. Sandberg, President and CEO of AEA, said “This partnership with West Valley National Bank and its customers will expand our footprint into the Phoenix, Arizona region and also add a presence in Las Vegas, Nevada. Our goal as a certified Community Development Financial Institution (CDFI) is to serve the underserved, and by expanding our footprint eastward into Arizona through this acquisition, we can do so more expediently.”

Ronald T. Evans, Jr., President and CEO of West Valley National Bank and West Valley Bancorp, said “We believe this is an exciting moment for West Valley National Bank. This transaction allows West Valley National Bank employees to join together with AEA employees in a shared commitment to deliver quality community-focused financial services and expertise to our collective customers throughout the communities we serve, and allows us to leverage our collective strengths and resources to deliver such services.”

The transaction is anticipated to be completed in the late second quarter of 2024 subject to receiving all required regulatory approvals, approval from the shareholders of West Valley Bancorp, and the satisfaction of other customary closing conditions.

AEA was advised by Luse Gorman, PC as legal counsel. West Valley Bancorp and West Valley National Bank were advised by Hunton Andrews Kurth LLP and the Parker Law Team, PLLC as legal counsel.

About AEA Federal Credit Union

Avenir Financial Federal Credit Union, based in Yuma, Arizona, is a certified Community Development Financial Institution (CDFI) that has been locally owned and operated by its member owners since 1942. Avenir has over $385 million in assets and more than 33,000 members with four branches serving Yuma and La Paz Counties in Arizona. For more information, visit aeafcu.org (before 1/16/24) or avenirfinancial.org (starting 1/16/24.)

About West Valley Bancorp and West Valley National Bank

West Valley Bancorp has served as the bank holding company of West Valley National Bank since the bank’s inception in 2006. Serving the State of Arizona and Clarke County, Nevada, West Valley National Bank is one of a few locally-owned and operated community banks, which was founded by local leaders for the purpose of fulfilling the banking needs of the local community. West Valley National Bank conducts its business from its headquarter in Goodyear, Arizona and its three full-service branches in Gila Bend, Arizona, Phoenix, Arizona and Las Vegas, Nevada. West Valley National Bank has approximately $80.6 million in assets. For more information, visit https://www.wvnb.net.

Forward Looking Statements

Certain statements in this news release contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to future plans and expectations, and are thus prospective. Such forward-looking statements are subject to risks, uncertainties, and other factors, such as the businesses of AEA and West Valley National Bank may not be integrated successfully or such integration may take longer to accomplish than expected, the expected cost savings and any revenue synergies from the transaction may not be fully realized within the expected timeframes, disruption from the transaction may make it more difficult to maintain relationships with customers, associates, or suppliers, the required regulatory approvals of the transaction may not be obtained on the proposed terms and schedule, or West Valley Bancorp shareholders may not approve the transaction, any of which could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. Although we believe that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove to be inaccurate. Therefore, we can give no assurance that the results contemplated in the forward-looking statements will be realized. The inclusion of this forward-looking information should not be construed as a representation by AEA and West Valley National Bank or any person acting on their behalf that the future events, plans, or expectations contemplated by AEA and West Valley National Bank will be achieved. All subsequent written and oral forward-looking statements concerning AEA and West Valley National Bank or any person acting on their behalf is expressly qualified in its entirety by the cautionary statements above. None of AEA, West Valley National Bank or West Valley Bancorp undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, to reflect circumstances or events that occur after the date the forward-looking statements are made.

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