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Lone Star Ag Credit and Ag New Mexico Farm Credit announce unanimous passed resolution to merge

published: May 17th 2023
by: Julie Porter
source: Lone Star Ag Credit

Fort Worth, Tex. (May 16, 2023) Lone Star Ag Credit and Ag New Mexico are pleased to announce both Boards unanimously passed a Resolution on May 11, 2023, approving the terms and conditions of a proposed merger of the two Associations. 

“This is a strategic merger for both associations,” shares Lone Star Ag Credit Board of Directors Chair, Brent Neuhaus. “Our boards have worked together diligently to ensure the long-term success of our customer-owners, the cooperative, and the communities we serve”.

The proposed merger is subject to the approval of the Farm Credit Administration (FCA).  Assuming the Associations receive regulatory approval, each Association will call a special meeting of stockholders to hold a vote on the merger, likely in summer of this year, with the hope of closing the merger as early as October 1, 2023.   

The agricultural lending cooperatives provide financing tailored to the needs of full and part-time farmers and ranchers as well as agricultural-related businesses. Customer-owners can expect the same personalized service they count on today from their current branch locations and experienced branch staff.  

Based on the two Associations’ current financial statements, the combined entity would be well capitalized with more than $3 billion in total assets, serving nearly 8,000 stockholders with approximately 155 employees.  The headquarters would be located in Fort Worth, Texas, with current Lone Star Ag Credit’s Chief Executive Officer, Joe Hayman, serving as the CEO of the merged entity. No branch closures or branch staffing changes are anticipated.