Gesa Credit Union to Acquire Oregon’s Willamette Valley Bank

Richland-based Gesa Credit Union and Willamette Valley Bank, together with the bank’s parent company, Oregon Bancorp Inc., on Tuesday announced a definitive agreement for Gesa to acquire the Salem-based community bank, marking what would be Gesa’s first venture into Oregon.

Under the agreement, Gesa would acquire substantially all of Willamette Valley Bank’s assets and assume substantially all of its liabilities, in an all-cash transaction. Gesa has about $6.8 billion in assets; Willamette has about $465 million in assets and $358 million in deposits.

The transaction was unanimously approved by the boards of directors of Gesa Credit Union, Willamette Valley Bank, and Oregon Bancorp. The acquisition is subject to regulatory approval and approval of the Oregon Bancorp shareholders. The deal is expected to be completed in the first half of 2027.

Following the completion of the transaction, Willamette Valley Bank and Oregon Bancorp will dissolve and the remaining assets will be distributed to the stockholders of Oregon Bancorp. Subject to the terms of the agreement, shareholders are expected to receive about $43-45 per share.

Willamette Valley Bank opened in Salem in 2000. Gesa has operated since 1953 and has more than 322,000 members across the Pacific Northwest. It has retail branches throughout the Puget Sound region among its 46 total, which includes 45 in Washington and one in Post Falls, Idaho.

Willamette Valley Bank’s four branches in Linn and Marion counties, and its loan office in Washington County, in the Portland metro area, will stay open and staffed by the same teams after the deal closes, with only the name changing. At that point, bank customers would become member-owners of Gesa. Together, the combined organization would give the Oregon communities a partner with the local roots of a community bank paired with the scale, products, and branch access of one of the Northwest’s largest credit unions, the release said. Gesa’s closest current branch to Portland is in Vancouver.

“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, president and CEO of Gesa Credit Union, said in today’s news release. “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.”

Ryan Dempster, president and CEO of Willamette Valley Bank, added in a statement, “This partnership brings together two organizations that share a deep commitment to serving customers, supporting local communities, and building long-term relationships. 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.”

Until the transaction closes, both organizations will continue to operate independently. Any change affecting an account would be communicated in writing well in advance, representatives said.

Meanwhile, Gesa last year completed another bank acquisition, of Centralia-based Security State Bank and its 12 branches in Lewis, Thurston, Pacific, and Grays Harbor counties.