Gesa expands into Oregon with community bank deal.

Gesa Credit Union is expanding into Oregon through the planned acquisition of Willamette Valley Bank, a move that would give one of Washington state’s largest credit unions its first retail presence across the state line while extending a trend that has reshaped community banking in recent years.

The Richland, Wash.-based credit union and Salem-based Willamette Valley Bank announced they have signed a definitive agreement under which Gesa will acquire substantially all of the bank’s assets and assume substantially all of its liabilities in an all-cash transaction. The deal also includes Oregon Bancorp Inc., the bank’s publicly traded parent company.

Financial terms of the acquisition were not disclosed, although Oregon Bancorp shareholders are expected to receive between $43 and $45 per share after the transaction closes and the holding company is dissolved.

The agreement has been approved unanimously by the boards of Gesa, Willamette Valley Bank and Oregon Bancorp. It remains subject to regulatory approval and approval by Oregon Bancorp shareholders. The companies expect the transaction to close during the first half of 2027.

For Gesa, which has approximately $6.8 billion in assets and more than 322,000 members, the acquisition marks another step in a strategy of expanding through bank acquisitions. In 2024, the credit union announced plans to acquire Security State Bank, based in Centralia, Wash.

“This partnership brings together two organizations that share a deep commitment to serving customers, supporting local communities, and building long-term relationships,” Ryan Dempster, president and chief executive officer of Willamette Valley Bank, said in announcing the agreement.

Founded in 2000, Willamette Valley Bank has grown into a regional community bank with approximately $465 million in assets and $358 million in deposits. The bank operates four branches in Linn and Marion counties and a loan office in Washington County, serving the Portland metropolitan area.

Under the agreement, those locations will remain open after the transaction closes, and employees will continue serving customers from the same offices. Customers will become member-owners of Gesa, reflecting the cooperative ownership structure unique to credit unions.

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