Cottage Grove-based Summit Credit Union plans to acquire West Bend-based Commerce State Bank in a deal that will expand its southeastern Wisconsin presence.
Terms of the deal, which is expected to close in the third quarter, were not disclosed. If completed, it will be Summit’s first acquisition of a bank.
The combined entity would have $6 billion in assets and 54 locations. Summit already has a southeastern Wisconsin presence with locations across Milwaukee, Waukesha, Racine and Kenosha counties. Commerce State Bank has offices in West Bend, Cedarburg, Sheboygan and Elm Grove.
“Commerce State Bank is an exceptionally well-run institution and has experienced tremendous success,” said Kim Sponem, president and chief executive officer of Summit. “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.”
Sponem will remain CEO of the combined organization.
Joe Fazio, CEO of Commerce State Bank, said the bank was started 17 years ago with a focus on serving clients, employees, communities and shareholders.
“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,” Fazio said.
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.
This is the second potential sale of Commerce State Bank. In February 2020, the bank announced a nearly $127 million, all-stock deal with Nicolet National Bank. That transaction was upended by the onset of the COVID-19 pandemic and was terminated in May 2020.