LAKELAND, Fla.—The $8.1-billion MIDFLORIDA Credit Union here has agreed to buy $924-million Prime Meridian Bank, based in Tallahassee, Fla.
The agreement marks the fourth CU purchase of a bank in 2025.
The deal represents MIDFLORIDA’s third bank acquisition in the past five years. MIDFLORIDA’s agreement has been unanimously approved by each institution's board of directors. Subject to regulatory and Prime Meridian shareholder approvals and customary closing conditions, the acquisition is expected to take place in 2026.
Prime Meridian shareholders will receive $58.50 in cash for each share owned subject to adjustment as set forth in the merger agreement between MIDFLORIDA and Prime Meridian Holding Company, the CU stated.
The bank made $8.9 million in net income last year according to FDIC information. MIDFLORIDA made $110 million in net income 2024. The CU’s net worth is 10.65%, according to Call Report data.
Prime Meridian Bank currently operates four Florida offices: two in Tallahassee, one in Crawfordville, and one in Lakeland.
“We built a bank based on a culture of service to our clients, our team and our community,” said Sammie Dixon, Prime Meridian’s vice chairman, president, and chief executive officer. “We recognized the strength in being able to adapt to change and it is fitting we now find ourselves in a position to bring physical locations to MIDFLORIDA’s operations in the Big Bend area. The opportunities for our employees—all of whom will be retained by MIDFLORIDA—and the expanded resources available to our clients, are huge.”
“As Florida’s community credit union we are already serving the panhandle in a lending capacity with mortgage, auto and commercial business loans. This acquisition will provide branches in the market to fuel additional growth in both consumer and business banking,” said Steve Moseley, president and chief executive officer of MIDFLORIDA.
The pioneer of CU purchases of banks, Michael Bell, reminded that despite bankers' rhetoric, these decisions by banks to sell to CUs are voluntary.
"Community based financial institutions occasionally make 100% voluntary decisions to combine," said Bell, a partner and chair of the Financial Institutions Practice Group at Honigman, LLP. "Fortunately, our federal lawmakers and most state lawmakers support the free market and community based financial institutions right to make strategic choices."
Bell, has been part of more than 75 whole-bank agreements, plus additional bank branch purchases.