ELGA Credit Union to acquire Marine Bank in $43.75 per share all-cash deal

ELGA Credit Union (“ELGA CU”) and Marine Bancorp of Florida, Inc. (OTCMKTS: MBOF), the parent company of Marine Bank & Trust Company (“Marine Bank”), have announced a definitive agreement under which ELGA CU will acquire Marine Bank in an all-cash transaction valued at $43.75 per share. This strategic move, unanimously approved by the boards of both entities, signifies a significant expansion in ELGA CU’s services and geographic footprint.

Expanding Services and Reach

The acquisition is poised to significantly enhance ELGA CU’s service offerings, blending its consumer and low-income lending capabilities with Marine Bank’s robust commercial and treasury management services. Post-transaction, ELGA CU will boast total assets of approximately $2.2 billion and extend its membership to over 105,000, spanning 18 branches across Michigan and Florida.

Terry Katzur, President and CEO of ELGA Credit Union, emphasized the strategic fit of the acquisition: “Throughout ELGA Credit Union’s 73-year history, our mission of Building Lifelong Relationships has remained at the core of our decision-making, and we believe this combination with Marine Bank will foster those relationships with our members and the communities we serve.” Katzur highlighted the mutual benefits of the merger, noting the enhanced banking experience and expanded business banking expertise that the combined entity will offer.

Commitment to Community and Service

Bill Penney, President and CEO of Marine Bank & Trust, also expressed enthusiasm for the merger: “This transaction is an exciting opportunity for Marine Bank to join forces with a like-minded, locally-operated organization that shares our values and our commitment to the communities and residents we serve.” Penney assured that ELGA CU is committed to retaining all Marine Bank jobs and banking centers, as well as expanding philanthropic efforts throughout Marine Bank’s communities, particularly in Vero Beach and surrounding areas.

Strategic Benefits and Future Prospects

The merger is described as a win-win for both organizations, combining ELGA CU’s consumer banking strengths with Marine Bank’s commercial banking capabilities. “With our combined resources and capital, we will be poised to better serve members and businesses in Michigan and Florida for years to come,” Katzur added.

Following the transaction’s close, which is expected in early 2025, Bill Penney will continue as Florida Market President, maintaining local decision-making authority to ensure continuity in service and community engagement. The transaction’s completion is subject to regulatory approvals and customary closing conditions, including approval from Marine Bank’s shareholders.

Advisors and Legal Counsel

The transaction was supported by Honigman, LLP, serving as legal counsel to ELGA Credit Union, with McQueen Financial Advisors acting as financial advisor. Marine Bank & Trust relied on Igler and Pearlman, P.A. for legal counsel, while Piper Sandler & Co. provided financial advisory services and rendered a fairness opinion to Marine Bancorp of Florida, Inc.