April 19, 2024

Sioux Falls-based Levo Credit Union plans to acquire a Sioux City bank branch from Heritage Bank.

Heritage is based in Spicer, Minnesota.

“This acquisition aligns with our growth strategy, allowing us to better serve the needs of our members and provide opportunity for more people to live better. That’s our mantra – live better – and that’s what we do is help people live better. Our members are our owners, which means we work for them. We exist to help them reach their financial goals, and they appreciate that,” Levo president and CEO Fran Sommerfeld said in a statement.

Once the agreement is approved by regulatory authorities and signed by both parties, Levo will take on some deposits and loans, as well as property – such as the branch. Levo plans to offer employment to current branch staff.

Customers will transition to Levo when the transaction closes, which is expected to happen in the fourth quarter of this year.

Levo recently announced an expansion of its service area from four counties in the Sioux Falls area to 29 counties along the Interstate 29 corridor in South Dakota, North Dakota, Iowa and Minnesota.

The credit union is a full-service financial institution with $470 million in assets. It offers personal loans such as auto and mortgage, business loans, deposits and other services – both online and in its six Sioux Falls branches. It will gain $33 million in loans and $33 million in deposits by acquiring the Heritage Bank branch. People qualify for membership if they or an immediate family member live, work, worship or volunteer in one of Levo’s 29 counties.

“Levo means to lift up, and we are very focused on lifting up our community,” Sommerfeld said. “We have our own foundation that gave out over $50,000 last year. We pay employees to volunteer in the community – last year they volunteered more than 1,300 hours. We support our community because our community makes us what we are.”