Summit to acquire Commerce State Bank in West Bend
First bank purchase historic for growing credit union
MADISON, Wis.—Summit Credit Union and Commerce State Bank jointly announced a partnership today that includes Summit’s acquisition of substantially all of the assets and liabilities of Commerce State Bank.
The definitive agreement was unanimously approved by both boards of directors and is pending shareholder and regulatory approval. The transaction is expected to close in the third quarter of 2022. The combined company will have assets approaching $6 billion and will have 54 locations.
The move for Summit Credit Union, a Madison-based financial cooperative and the second-largest credit union in Wisconsin, is historic because Commerce is the first bank it will acquire. Kim Sponem, CEO & President of Summit Credit Union, will remain the CEO of the combined organization.
“Commerce State Bank is an exceptionally well-run institution and has experienced tremendous success,” said Sponem. “We have similar values, cultures, and dedication to the highest levels of member and community service. This is a terrific strategic fit. Commerce State Bank’s stellar commercial lending portfolio adds to our strengths in mortgage and small business lending, as well as helping people with their everyday financial needs.”
“Growth and expansion are important because it provides the opportunity to positively impact more people’s financial well-being,” said Dave Reszel, Summit Board Chairperson. “We look forward to bringing our award-winning financial wellness programs to new communities in Wisconsin.”
Summit Credit Union is Wisconsin’s No. 1 Mortgage Lender and the largest credit union lender of SBA loans to small businesses in Wisconsin for 10 years.
“When we opened Commerce State Bank nearly 17 years ago, we focused all efforts on serving our four core constituencies: clients, employees, communities and shareholders. Combining with Summit Credit Union significantly benefits each of them.” Commerce State Bank Chief Executive Officer, Joe Fazio said in a statement. “This transaction is about growing to serve current clients, expanding to new communities, rewarding our shareholders, and providing career opportunities for employees of the combined company.”
“Summit Credit Union has a long history and reputation for providing excellent client service. Commerce State Bank prides itself on that as well.” Jack Enea, Chairman of Commerce Financial Holdings said in a statement. “We are going to leverage the combined strengths of Commerce and Summit Credit Union, with our people and relationship-focused attitudes, to accelerate the growth of the combined companies.”
Both the bank and credit union have won Top Workplaces awards in recent years. Commerce employees will remain part of the combined organization.
Summit Credit Union was advised on the transaction by Dan Martin of McQueen Financial Advisors and Mike Bell of Honigman, LLP. Commerce State Bank was advised on the transaction by Hillworth, LLC and Reinhart Boerner Van Deuren, s.c.
About Summit Credit Union: Established in 1935, Summit Credit Union is a member-owned financial cooperative. Summit is the 2nd largest credit union in Wisconsin and holds $4.8 billion in assets and has more than 225,000 members and 754 employees across 50 locations throughout south-central and southeastern Wisconsin. Kim Sponem has been CEO & President of Summit Credit Union, and its predecessor organization, CUNA Credit Union/Great Wisconsin Credit Union, since 2002. Recognized for its excellence in employee engagement, Summit was named a Top Workplace in the USA in 2021 by Top Workplaces USA and a Top Workplace in the Madison area for 2020 and 2021 by the Wisconsin State Journal.
ABOUT COMMERCE STATE BANK:
Opened in August 2005, Commerce State Bank is a full-service, state-chartered bank headquartered in West Bend, Wi., with additional offices in Cedarburg, Elm Grove and Sheboygan. The bank has assets of $835 million, making it the 32nd largest bank in Wisconsin.