Preliminary member vote results released by the third-party administrator, Koch Law Firm P.C., revealed that Bedford, IN-based Hoosier Hills Credit Union did not secure the majority of member votes needed to proceed with its proposed merger with Columbus, IN-based Centra Credit Union. Despite significant support from many Hoosier Hills members and team members who understood the strategic benefits of the merger, the vote was ultimately influenced by the spread of misinformation, despite extensive communication efforts from Hoosier Hills.
The merger was first announced in January 2024, with regulatory approval following in March. The two financially stable credit unions aimed to join forces, promising members access to 38 service centers and over 70 ATMs/ITMs across their combined networks. Under the merger plan, Centra would have merged into the Hoosier Hills charter, with the unified entity adopting the Centra Credit Union name. Rick Silvers, President and CEO of Centra, was slated to lead the new organization, supported by the entire Hoosier Hills executive team.
The merger promised numerous benefits, including enhanced member services, strategic alignment, increased community support, expanded career opportunities, and the retention of all service centers and team members. Importantly, the NCUA-required disclosures indicated no financial incentives for executives involved in the merger. The Boards of Directors of both credit unions unanimously supported the merger, highlighting the strong backing and unity behind the partnership.
Travis Markley, President and CEO of Hoosier Hills Credit Union, expressed his gratitude for the dedication and passion of Hoosier Hills members. He emphasized the credit union’s commitment to continued growth and service innovation, underscoring the enduring relationship with Centra as collaborative partners. Centra members also largely supported the merger, with neutral or positive feedback prevalent on Centra’s Facebook page.
Rick Silvers, President and CEO of Centra Credit Union, echoed appreciation for the trust and passion shown by members of both credit unions. He highlighted the cooperative spirit of credit unions, emphasizing the collective success that member engagement ensures.
In connection with the transaction, Edelman & Co., Ltd. served as financial advisor and Krieg DeVault LLP as legal counsel to Centra Credit Union. Hoosier Hills Credit Union was advised by Piper Sandler & Co. as financial advisor and Luse Gorman, PC as legal counsel.
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