Richland, Washington-based Gesa Credit Union will expand into Oregon with the acquisition of Willamette Valley Bank, the financial institutions announced Tuesday.
With the purchase, Gesa will add four branches in the Salem, Oregon, market, as well as a loan office in the Portland metropolitan area. The deal will also push $6.8 billion-asset Gesa well past the $7 billion mark, as it assumes $465 million in Willamette Valley assets and $358 million in deposits.
The full value of the deal was not disclosed, but stockholders of Oregon Bancorp, Willamette Valley’s holding company, will receive $43 to $45 in cash for every share they own, the credit union said.
The transaction is set to close in the first half of 2027.
“In Willamette Valley Bank, we found people who believe what we believe, that a financial institution exists to support the people and communities it serves,” Don Miller, Gesa’s CEO, said in a statement.
This isn’t Gesa’s first bank purchase. The credit union bought Centralia, Washington-based Security State Bank in 2024.
Willamette Valley is at least the fifth whole-bank purchase by a credit union in 2026. Such acquisitions generally draw concern from bank trade groups such as the Independent Community Bankers of America, which has argued that the tax-exempt nature of credit unions allow them to offer a higher purchase price than competing banks can.
“Large credit unions are promoting a narrative of community service while aggressively expanding beyond their original mission and undermining local communities,” ICBA CEO Rebeca Romero Rainey said in April.
The number of bank-credit union tie-ups, however, has fallen since reaching a record 22 proposed acquisitions in 2024. There were 16 last year. The slowdown “is attributed to increasingly aggressive competition from traditional bank buyers, who are outbidding credit unions in competitive processes,” according to a S&P Global Market Intelligence analysis published last month.
In its press release Tuesday, Gesa emphasized its philanthropy.
“As a cooperative, Gesa measures itself by what it gives back, and we look forward to bringing that commitment to the Willamette Valley, alongside the local team that has served these communities for a generation,” Miller said.
Gesa invested $5.8 million across the Pacific Northwest, with free financial education reaching more than 14,000 people and Gesa team members volunteering more than 9,400 hours, the credit union said.
Once the transaction closes, Willamette Valley Bank and Oregon Bancorp will dissolve. The credit union, however, said it would keep each of the branches open, and that Willamette Valley’s employees would continue serving members.
“Joining forces with Gesa creates new opportunities to expand products, services and resources available to our customers while preserving the community-focused values that have defined Willamette Valley Bank for more than 25 years,” Ryan Dempster, CEO of Willamette Valley Bank, said Tuesday. “This partnership brings together two organizations that share a deep commitment to serving customers, supporting local communities and building long-term relationships.”
