First Financial Northwest, Inc.: A Strategic Acquisition for Global Credit Union

Global Federal Credit Union (Global) and First Financial Northwest, Inc. (First Financial Northwest) announced a definitive agreement on January 11, 2024, in which Global will acquire First Financial Northwest Bank, a wholly-owned subsidiary of First Financial Northwest. The acquisition, structured as a purchase and assumption agreement, will see Global purchasing substantially all assets and assuming substantially all liabilities of the bank for an all-cash consideration of $231.2 million, subject to certain adjustments.

The acquisition is expected to expand Global's business and commercial services to all its member businesses, enhance its branch presence in Western Washington, and provide First Financial Northwest Bank customers with access to Global's extensive product and service offerings. First Financial Northwest Bank customers will become members of Global Federal Credit Union, gaining full access to Global's services.

Geoff Lundfelt, President and CEO of Global Federal Credit Union, expressed enthusiasm about the combination of two financially sound institutions that share a strong commitment to service and community engagement. He noted that the acquisition will continue to enhance service delivery and growth in a market where the credit union has been operating for over four decades, adding numerous branches. First Financial Northwest Bank's branch network has a technology-forward design, which will accelerate the transformation to an environment more suited to conducting business in the future.

Joseph W. Kiley III, President and CEO of First Financial Northwest Bank, added that the strategic transaction provides numerous benefits for customers, communities, and employees. He emphasized that the transaction delivers substantial value to shareholders, who have supported the company over the years.

The transaction is anticipated to be completed in the fourth quarter of 2024, subject to receiving all regulatory approvals, approval by the shareholders of First Financial Northwest, and other customary closing conditions. Until the transaction is finalized, both organizations will continue to conduct business as usual.



In conclusion, the acquisition of First Financial Northwest Bank by Global Federal Credit Union is a strategic move that aligns with both institutions' objectives and risk management strategies. The acquisition is expected to expand Global's business and commercial services, enhance its branch presence, and provide First Financial Northwest Bank customers with access to a broader range of products and services. The transaction is subject to regulatory approvals and customary closing conditions, with an anticipated completion date in the fourth quarter of 2024.