Farm Credit of New Mexico, American AgCredit announce intent to merge
Albuquerque, N.M., (May 12) – Farmers, ranchers, and agribusiness in territories across the U.S. will have a stronger partner to help them build their operations for the future, with Farm Credit of New Mexico announcing its intent to merge into American AgCredit. The new American AgCredit aims to have total assets of $19 billion, a diverse agricultural portfolio across North America, and a lending area covering seven states, delivering enhanced marketplace stability, increased funding capacity to scale customer operations, better access to technology, and profitability for its customer-owners.
“Our customers are growing, adapting, and changing the shape of agriculture. And so are we,” said Alan Feit, president and CEO, Farm Credit of New Mexico. “We are building on strength, adding size and scale to protect and enhance our market competitiveness. This merger would power our pursuit of the Farm Credit mission to support agriculture and rural America, which is all we do, and our area expertise. Our goal is to help customers across the territory succeed today, and tomorrow.”
According to American AgCredit CEO Curt Hudnutt, the merger also advances the associations’ most important asset – their people.
“The culture and values of both associations align really well,” said Hudnutt. “This gives us a fantastic foundation to build our teams which combined would include nearly 850 employees. We know that leveraging the power of their combined expertise across all segments of agriculture would allow us to better serve our customers.”
The associations’ boards of directors, chaired by Gary Harshberger at American AgCredit and James Duffey at Farm Credit of New Mexico, unanimously agreed to pursue a merger and signed a letter of intent to merge, kicking off a year-long process that includes due diligence, regulatory approval and customer-stockholder approval. The merged association is expected to begin operations mid- 2023, under the leadership of Hudnutt.
ABOUT FARM CREDIT OF NEW MEXICO
Farm Credit of New Mexico is the largest agricultural lender in New Mexico a $2 billion cooperative that specializes in agricultural lending and related services. Farm Credit of New Mexico is a full-service Ag lender, providing agricultural real estate loans, operating loans, equipment and livestock loans, rural home loans, and insurances products to New Mexico farmers and ranchers. Visit us online at www.farmcreditnm.com. Farm Credit of New Mexico is a member of the Farm Credit System, a nationwide network of retail lending associations chartered to support the borrowing needs of U.S. agriculture and the nation’s rural economy.
ABOUT AMERICAN AGCREDIT
American AgCredit was chartered in 1916 as part of the nationwide Farm Credit System and is the nation’s fourth-largest Farm Credit association. American AgCredit specializes in providing financial services to agricultural and rural customers in California, Colorado, Hawaii, Kansas, New Mexico, Nevada and Oklahoma, and serves capital market customers throughout the United States.
American AgCredit’s financial services include production and mortgage financing, equipment and vehicle leasing, crop and life insurance, lines of credit, and the Young, Beginning and Small Farmer Program. American AgCredit also provides interest-free loans for qualifying 4-H and FFA AgYouth programs, and college scholarships to students interested in agriculture. Learn more at AgLoan.com.