TDECU, Bluebonnet Credit Union contemplate merger
May 19, 2011 at 12:19 a.m.
A potential merger might be in the future for TDECU and Bluebonnet Credit Union.
The process began within the past month and TDECU's board recently approved a letter of intent to continue forward with merger proceedings, said Stephanie Sherrodd, TDECU's executive vice president and chief operating officer.
From here, the companies will continue forward with due diligence, which is essentially an auditing process, she said. Afterward, members of the Bluebonnet Credit Union must vote to approve the merger.
TDECU members are not required to vote, Sherrodd said, because TDECU is the continuing organization Bluebonnet would merge into.
It's too early to know whether a name change would take place, she said, explaining Bluebonnet branches will maintain their names until the merger is legally complete later this year.
TDECU plans to keep all of Bluebonnet's locations and employees, Sherrodd added.
The partnership is an opportunity to create more value for the combined memberships, Charles Maguire, president and CEO of Bluebonnet Credit Union, said in a joint release.
"While there is more due diligence ahead, our initial analysis suggests a merger would enhance the capabilities of the combined credit union moving forward," he said.
Bluebonnet had a number of potential merger partners to choose from, Edward Speed, TDECU's CEO, said in the release.
"We are truly honored that BCU would consider us as the entity they would like to have care for their members and employees in the future," he said.
Bluebonnet, a state-chartered credit union, has $80 million in assets and more than 10,000 members. It opened in 1935 and has four locations in the greater Houston area.
TDECU, a not-for-profit financial cooperative, has more than $1.6 billion in assets and more than 140,000 members. The company was founded in 1955 and has 23 service locations, with 19 branches.