Three Farm Credit organizations received stockholder approval to merge their businesses together into one organization.
As of July first, Farm Credit Services, AgStar Financial Services, and Badgerland Financial will become Compeer Financial.
The boards of directors of each organization first began looking into the possibility of merging assets back in February of last year.
Each recommended moving forward with the idea in August of 2016.
The new organization will do business in 144 counties across Minnesota, Wisconsin, and Illinois.
They’ll have 47 offices, nearly 50,000 clients, and $18.6 billion in assets.
AgStar President and CEO Rod Hebrink has been selected to lead the new Compeer Financial.
The merger will help draw on the strengths of each organization, but it also will provide expanded capital for Compeer to invest in new technologies and other resources to support the client base.
It also allows the group to diversify its portfolio, which creates additional stability and gives the organization a much better chance to share earnings with their stockholders through a cash patronage program.