ALBANY, N.Y. — The planned merger of Albany–based SEFCU, which operates branches in Central New York, and CAP COM is still on track for completion in 2022. That’s according to Ken Jubie, VP of communications and public relations at SEFCU. Both SEFCU and CAP COM, another federal credit union headquartered in New York’s Capital Region, […]
ALBANY, N.Y. — The planned merger of Albany–based SEFCU, which operates branches in Central New York, and CAP COM is still on track for completion in 2022.
That’s according to Ken Jubie, VP of communications and public relations at SEFCU.
Both SEFCU and CAP COM, another federal credit union headquartered in New York’s Capital Region, announced their plans in late July.
The boards of directors of both organizations “unanimously” voted to approve a “merger of equals” that will become “fully integrated next year,” SEFCU said July 29. Financial terms of the agreement weren’t disclosed.
The due-diligence process and required regulatory approval of both the National Credit Union Administration and the New York State Department of Financial Services, along with the membership vote, will likely result in the merger closing in 2022.
The newly combined entity will have a new name to “reflect the respective histories and common values” of both organizations.
SEFCU and CAP COM leaders have been exploring a potential merger, and throughout their discussions, “found a consistent mission, common purpose, and shared vision that prioritizes our employees, members, and communities,” SEFCU said.
SEFCU’s current employee headcount is about 950, and CAP COM has about 450 workers. The combined entity will have about 1,400 total employees, according to Jubie.
The credit unions emphasize their upcoming merger won’t result in any layoffs but will “provide the scale necessary to create greater opportunities for existing employees, the need for additional team members, and significant advancements in products, services, and support for members and community partners,” per a SEFCU news release.
This effort will create a new $8 billion credit union, which the organizations say will be the “largest financial institution in the Capital Region” based on local deposits, and one of the top five credit unions in the state. The unified financial institution will also become one of the 30 largest credit unions in the nation, SEFCU said.
About the credit unions
Established in 1934, SEFCU is among the 50 largest credit unions in the U.S. with more than $5 billion in assets, over 350,000 members, and more than 50 branches in the Albany, Binghamton, Syracuse, and Buffalo areas.
CAP COM is a member-owned financial institution with more than $2 billion in assets and 12 branch locations, all in the Capital Region. The credit union was established in 1953 and has more than 140,000 members.
