Kinecta-NuVision Mega-Merger On Track
MANHATTAN BEACH, Calif. – The boards of Kinecta FCU and NuVision FCU have completed their due diligence and signed a formal intent to combine the two credit unions, the latest of a string of huge mergers remaking the credit union landscape.
The next step is to submit a formal application to NCUA for the merger, according to Molly Egan, spokesman for Kinecta. She emphasized that the merger is one of equals. The new credit union will bear the Kinecta name.
The merger, announced in June, will create a credit union with almost $5 billion in assets serving some 300,000 members in Southern California. Both credit unions were founded in Southern California to serve aerospace employees. NuVision was founded in 1935 as Douglas Aircraft Company FCU; Kinecta in 1940 as Hughes Aircraft Employees FCU. Today, both credit unions continue to serve aerospace employees and their local communities.
The formal merger pact comes just after NCUA and state regulators approved the merger of California’s Addison Avenue FCU with Oregon’s First Tech CU to create a $4.8 billion credit union; and within weeks after Navy FCU agreed to acquire USA FCU of San Diego. Several other large credit union combinations have been launched over the past two years, including the merger of Florida giants Space Coast CU with Eastern Financial Florida CU.