Oregon-based credit union turns to M&A for Cali expansion
The $3.6 billion-asset Rogue Credit Union in Medford announced plans to move into the Golden State through a merger with Members 1st CU in Redding.
Rogue Credit Union will expand its footprint into California through a planned merger with Members 1st Credit Union, which is based in Redding.
The $3.6 billion-asset Rogue is headquartered in Medford, Oregon, with branches throughout the southern part of the state as well as western Idaho.
The merger is expected to be completed sometime in 2026.
The $341 million-asset Members 1st said in a press release Thursday that the combined credit union will serve 236,000 members with a network of 28 full-service branches.
The release did not say who would lead the resulting institution.
“This will give our members more choices and improved benefits of membership. Rogue is deeply committed to the communities they serve and will retain the same level of dedication to the Members 1st communities,” said Ken Reed, Chairman of Members 1st Credit Union, in the release.
And scale matters when it comes to membership growth.
Credit unions with assets of at least $100 million but less than $500 million – including Members 1st – saw membership decline 3.7% during the four quarters that ended Dec. 31, 2024 while those with between $1 billion and $10 billion of assets experienced membership growth of 5%, according to National Credit Union Administration data.
The NCUA approved 162 mergers in 2024, with 41 of those coming in the fourth quarter. The regulator green lighted 145 consolidations in 2023 and 181 in 2022.
There were 4,604 federally insured credit unions as of Dec. 31, 2023, which was 149 more institutions than the 4,455 standing at the end of last year.
Rogue earned roughly $24.4 million in 2024, a 13% decrease compared to a year earlier, according to call report data from the NCUA.
For Members 1st, 2024 earnings totalled $3.4 million, a 23% increase compared to the previous year.
“This partnership will allow us to provide a greater opportunity to serve more members, offering expanded resources and enhanced services – all while preserving the local, hometown feel that members value.”
– Matt Stephenson
President and CEO
Rogue Credit Union
