Houston, Texas, April 30, 2024 (GLOBE NEWSWIRE) -- TDECU, Houston's largest not-for-profit credit union, has signed a definitive agreement to acquire Sabine State Bank and Trust (Sabine), a commercial bank headquartered in Many, LA with more than $1.2 billion in assets. TDECU's planned acquisition of Sabine is a noteworthy move for a credit union. The agreement will create greater access to commercial lending products for all communities, especially commercial business owners in oil and gas, agriculture, and energy.
At closing, this is expected to be one of the largest credit union acquisitions of a commercial bank in the history of the credit union industry. When finalized, the combined institution will have approximately $6 billion in assets and 471,000 Members. The acquisition will expand the field of membership for TDECU, which has a significant presence in Greater Houston, and a growing presence in the Dallas, Fort Worth and Victoria areas.
"TDECU is on a growth journey to expand across the state of Texas and beyond," said President & CEO Isaac Johnson. "Our mission is helping people navigate their financial journeys, and be financial solvers for our Members' everyday needs. This acquisition extends our reach to more communities, diversifies our commercial portfolio, and makes our balance sheet even stronger. If our balance sheet is stronger that will enable TDECU to continue to deliver and do more for our existing Members. Together, we will strengthen ties with our membership, partners, and local communities"
A strong performing commercial bank
Founded more than 100 years ago, Sabine State Bank and Trust has a footprint of 51 branches in western Louisiana and east Texas. It specializes in commercial loans with industry concentration in oil and gas, agriculture, and energy. Sabine has long-standing depository relationships with municipalities (cities and parishes) and other public institutions including school districts, fire districts and law enforcement agencies.
"We are excited to become a part of the TDECU family and we share their commitment to strengthening our communities and empowering our customers to build better financial futures," said Lee H. McCann, President and CEO of Sabine State Bank and Trust. "Our customers can be rest assured that they will continue to experience the best-in-class service they count on from us. Best of all, that service will be enhanced with an even wider array of financial products to help them better secure their futures."
Strengthening the credit union movement
TDECU has a healthy balance sheet that is focused on consumer deposits and lower-risk investment strategies. Sabine's strong commercial operations will further diversify the credit union's loan concentration and support TDECU's overall growth strategy, bolstering stability and resiliency to provide compelling service offerings to its Members during economic and market fluctuations.
TDECU Members and Sabine customers should continue to conduct their business as usual. The transaction is anticipated to be completed early 2025, subject to receiving all regulatory approvals and other closing conditions.
Attachments
- TDECU and Sabine State Bank & Trust Logos
- TDECU signs definitive agreement for the acquisition of Sabine State Bank and Trust.
Mike O'Neill TDECU 3469014982 moneill@tdecu.org
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