NCUA Sets Oct. 3 for U.S. Central Bidders Meeting
The NCUA said Friday it will hold a meeting of potential bidders for U.S. Central Bridge Corporate at 1 p.m. CDT on Oct. 3, probably in the Kansas City, Mo., area.
“This meeting is an important first step in the process for potential acquirers to learn about U.S. Central Bridge’s operations and the process for submitting a proposal to acquire operations,” Scott Hunt, agent for the conservator of U.S. Central Bridge, said in a statement.
“NCUA seeks a solution that minimizes disruption to U.S. Central Bridge members and their downstream credit union members, while minimizing costs to the Corporate Stabilization Fund,” Hunt said.
Friday’s steps follow on the Sept. 2 announcement that a group that had hoped to form a new payments corporate out of U.S. Central Bridge had conceded failure in the effort.
At that point, SunCorp executive vice president Brandt Peterson – the spokesperson for the ad hoc group that wanted to form the new payments corporate – said in an interview: “we will partner with a large, third-party provider – as a group – and together we will buy the payments portion of US Central Bridge.”
“The corporates are hanging together. The same people have been working on this since October , and we will work together on the next phase. The goal is minimizing impacts on any credit unions,” said Peterson.
Peterson did not immediately return a call Friday requesting an update on those plans.
In the latest statement, NCUA did not reveal a timeline for disposing U.S. Central Bridge.
In early September, however, Hunt had said in a statement: ““We have no plans to immediately shutter U.S. Central Bridge operations, nor will we ask corporate credit unions to immediately transition away from U.S. Central Bridge.”
The NCUA statement Friday included this advice: “Interested parties must execute a confidentiality agreement with NCUA to attend this meeting as well as receive information material about U.S. Central Bridge’s operations. Please contact corporate field supervisor Victoria Nahrwold at firstname.lastname@example.org to request the required confidentiality agreement and obtain specific information on the meeting location.”
The NCUA said earlier a meeting would be held the week of Oct. 3 for potential bidders for Western Bridge.