Gesa Credit Union to Acquire Willamette Valley Bank in Strategic All-Cash Transaction
Gesa Credit Union and Willamette Valley Bank, together with Willamette Valley Bank’s parent company, Oregon Bancorp, Inc., have announced a definitive agreement under which Gesa will acquire the Salem-based community bank. The proposed transaction will bring together two financial institutions with deep community roots and a shared commitment to serving local consumers, businesses and communities across the Pacific Northwest.
Under the terms of the agreement, Gesa Credit Union would acquire substantially all of the assets of Willamette Valley Bank and assume substantially all of its liabilities in an all-cash transaction. The deal was unanimously approved by the boards of directors of Gesa Credit Union, Willamette Valley Bank and Oregon Bancorp, Inc., reflecting the strong strategic alignment between the organizations.
The transaction remains subject to customary closing conditions, including regulatory approvals and approval by the shareholders of Oregon Bancorp, Inc. The acquisition is currently expected to close during the first half of 2027.
Following completion of the transaction, Willamette Valley Bank and Oregon Bancorp, Inc. are expected to dissolve, with the remaining assets distributed to the stockholders of Oregon Bancorp, Inc. Subject to the terms and conditions of the agreement, shareholders are expected to receive an estimated $43.00 to $45.00 per share.
The planned acquisition represents a significant step in Gesa Credit Union’s long-term growth strategy and marks the credit union’s entry into retail branch banking in Oregon. For Willamette Valley Bank, the transaction provides an opportunity to join forces with a larger cooperative financial institution while preserving the local teams, relationships and community connections that have been central to its success.
Two Community-Focused Institutions Join Forces
Willamette Valley Bank was founded in Salem in 2000 and has spent the past 25 years building relationships with individuals, families and businesses throughout the Willamette Valley. Since its founding, the bank has focused on providing personalized financial services and maintaining strong connections with the communities it serves.
Gesa Credit Union shares a similar philosophy. Established in 1953, the credit union has grown into one of the Pacific Northwest’s largest credit unions while maintaining a strong focus on member service, community involvement and financial education.
The combination is expected to bring together the local knowledge and relationship-driven approach of a community bank with the broader scale, product offerings and branch network of a large regional credit union.
For Gesa, the acquisition will also represent a historic milestone. The transaction would establish the credit union’s first retail branches in Oregon during its 73-year history.
The expansion is expected to give Gesa a stronger physical presence in the Willamette Valley while allowing Willamette Valley Bank customers to gain access to a broader range of financial products, services and resources over time.
“ 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,” said Don Miller, President and CEO of Gesa Credit Union. “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.”
Gesa said its community commitment is reflected in its ongoing investments throughout the region. During the past year, the credit union contributed $5.8 million to communities across the Pacific Northwest. Its financial education programs reached more than 14,000 people, while Gesa team members contributed more than 9,400 volunteer hours.
The credit union expects to bring this same focus on community investment, financial education and member support to the communities currently served by Willamette Valley Bank.
Branches and Local Teams Expected to Remain
For customers, the most visible change following the completion of the transaction is expected to be the name displayed on the branches.
Willamette Valley Bank currently operates four branches across Linn and Marion counties, along with a loan office located in Washington County in the Portland metropolitan area. These locations are expected to remain open and staffed by the same local teams following the closing of the transaction.
Customers would continue to have access to the employees and banking professionals they know, helping ensure continuity throughout the transition.
After the transaction closes, Willamette Valley Bank customers would become member-owners of Gesa Credit Union. As a cooperative financial institution, Gesa is owned by its members rather than traditional shareholders. This structure is expected to provide customers with access to Gesa’s broader range of products and services while also giving them the benefits associated with membership in a credit union.
The organizations emphasized that the transition is not expected to create any immediate action items for customers or Gesa members.
Until the transaction receives all required approvals and closes, both organizations will continue to operate independently. Willamette Valley Bank customers can continue to bank as they normally do, while Gesa members will experience no change to their existing accounts or services.
Any changes that may affect customer accounts, products or services will be communicated in writing well in advance, according to the organizations.
Expanding Products and Services
The proposed acquisition is expected to create new opportunities for customers in the Willamette Valley by combining Willamette Valley Bank’s local market knowledge with Gesa’s broader financial capabilities.
As a larger financial institution, Gesa offers a range of banking and financial services designed to serve consumers, families, small businesses and commercial customers. The combination could provide Willamette Valley Bank customers with access to expanded financial products and resources while retaining the relationship-based service associated with their local banking teams.
Ryan Dempster, President and CEO of Willamette Valley Bank, said the agreement reflects the shared values of both organizations.
“This partnership brings together two organizations that share a deep commitment to serving customers, supporting local communities, and building long-term relationships,” Dempster said. “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. We are proud of what our team has built and excited about the future we can create together.”
The statement highlights one of the central themes of the transaction: growth without abandoning the local relationships that helped establish Willamette Valley Bank as a trusted community institution.
For customers and businesses in Salem and surrounding areas, the combination could provide a wider range of financial capabilities while maintaining local access to banking professionals and branch locations.
A Significant Expansion for Gesa
The transaction will strengthen Gesa Credit Union’s geographic footprint and establish a new presence in Oregon. The credit union has historically served communities across the Pacific Northwest, and the acquisition will extend its retail branch operations into the Willamette Valley and the broader Portland metropolitan area.
The expansion comes at a time when financial institutions are increasingly seeking ways to achieve scale while maintaining customer relationships and local market expertise. Credit unions and community banks continue to face competition from national banks, digital financial platforms and fintech companies, making strategic combinations an important avenue for growth.
The proposed transaction could allow Gesa to increase its market presence while gaining experienced employees and established customer relationships in Oregon. At the same time, Willamette Valley Bank customers could benefit from the resources and scale of a larger financial institution.
The deal also reflects the continuing evolution of the financial services industry, where traditional institutions are seeking partnerships and acquisitions that allow them to broaden their capabilities while maintaining a strong local presence.
Transaction Advisors
Several financial and legal advisors are supporting the proposed transaction.
Luse Gorman, PC is serving as legal counsel to Gesa Credit Union, while McQueen Financial Advisors is serving as its financial advisor.
Alston & Bird LLP is serving as legal counsel to Oregon Bancorp, Inc. and Willamette Valley Bank. Performance Trust Capital Partners, LLC is serving as financial advisor to Oregon Bancorp, Inc. and Willamette Valley Bank.
The agreement will continue through the required regulatory and shareholder approval processes before the transaction can be completed.
Although the acquisition is not expected to close until the first half of 2027, both organizations are expected to continue operating separately until all necessary approvals have been obtained and the transaction is finalized.
For Willamette Valley Bank, the agreement represents the next chapter in an institution that has served Oregon communities for more than two decades. For Gesa Credit Union, it marks a major expansion into a new state and the beginning of its first retail branch presence in Oregon.
The organizations say the combination is built on a shared commitment to community service, customer relationships and long-term financial support.
If completed, the acquisition will bring together Willamette Valley Bank’s established local presence and Gesa Credit Union’s broader scale and cooperative model. The result could create a financial institution with the ability to offer expanded products and services while continuing to invest in the people and communities of the Willamette Valley.
As the transaction moves through the regulatory and shareholder approval process, customers of Willamette Valley Bank and members of Gesa Credit Union are expected to continue their existing banking relationships without immediate changes.
The proposed acquisition ultimately represents more than a change in ownership. It is a strategic combination of two organizations that have built their businesses around community relationships and personalized financial service. By joining forces, Gesa Credit Union and Willamette Valley Bank aim to create a stronger platform for serving customers, supporting local businesses and investing in the future of communities across Oregon and the wider Pacific Northwest.
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