Alaska USA expands footprint with TCF Bank branch deal
Alaska USA Federal Credit Union has acquired seven Phoenix-area branches from TCF bank, broadening the Anchorage-based credit union’s brick-and-mortar network.
Along with the branches themselves, Alaska USA has also acquired the deposits and certain unspecified related assets. All current branch employees have been offered positions with the credit union.
Terms of the deal were not disclosed.
The transaction nearly doubles Alaska USA’s presence in the Phoenix market for a total of 15 branches, as well as a financial center, data center and operations center in Glendale.
With more than $8 billion in assets, Alaska USA serves more than 673,000 members and has operates facilities in Alaska, Arizona, California and Washington.
“The acquisition of TCF Bank’s seven branches and deposits in Arizona further demonstrates our commitment to providing expanded access to credit union services to individuals residing throughout Maricopa County,” Alaska USA president and CEO Geoff Lundfelt said in a press release. “We look forward to serving these customers, who will have the opportunity to become members of our credit union and all that it has to offer.”
Michael Jones, TCF Bank’s EVP of regional banking, said the deal will allow the Detroit-based bank to better focus its operations on markets where it has greater scale.
“We see tremendous opportunity to centralize our strong brand and full-service product offerings throughout our markets in Michigan, Minnesota, Illinois, Colorado, South Dakota, Ohio and Wisconsin,” said Jones.
The deal is expected to close sometime during Q2, subject to regulatory approval.
With a disparate branch network, Alaska USA is one of a growing number of credit unions operating not only across state lines, but in noncontiguous states – a trend likely to continue as large credit unions continue to grow.
Alaska USA posted $54.4 million in net income during the first three quarters of 2019, the most recent data available, a nearly 50% increase from the $36.3 million it reported during the same period one year prior.
Piper Sandler and Dorsey & Whitney consulted on the deal for the credit union, while D.A. Davidson Companies and Vantage Law Group advised the bank.