TRENTON, Ill.–Illinois-based Scott Credit Union is reporting it has closed on its purchase of Tempo Bank, here.
The deal, which was reported in the third quarter of 2021, moved forward with approval from the boards of Sugar Creek Financial Corp., which is the holding company for Tempo Bank, and of Tempo Bank, and Scott Credit Union, as well as regulators and Sugar Creek’s stockholders.
The Tempo Bank customers are now members of Scott Credit Union.
As CUToday.info also reported, Edwardsville-based Scott Credit Union said it had agreed to pay $14.25 million in the purchase and assumption transaction, which covers substantially all the assets and liabilities including deposit accounts of Trenton, Illinois-based Tempo Bank.
It was an all-cash deal.
Expanded Footprint
In a statement, Scott CU President and CEO Frank Padak said the acquisition of Tempo Bank is the credit union’s expansion into Clinton County, Ill. and a significant increase in products and services for local residents.
The acquisition includes Tempo’s main office in Trenton and a branch office in Breese, Ill. It brings Scott Credit Union’s total footprint to 22 locations across the Metro East and St. Louis area.
“It’s a continuation of our growth and expansion,” Padak said of the new acquisition in an interview with the St. Louis Business Journal. “We added a branch in Lebanon right before the pandemic and when we did that, we were next door to Trenton and Breese. And we have a location in Highland, which is just north of Trenton, so it just made sense from a geographical standpoint. There aren’t any credit unions service those markets.”
$70M in Deposits
Scott Credit Union also has three offices in Chicago, which it picked up last year when it merged in South Division Credit Union.
According to the $1.67-billion Scott CU, the acquisition of Tempo Bank adds $70 million in deposits, $50 million in loans and $84 million in assets.