Western Heritage Bank, a growing financial institution based in Las Cruces, New Mexico, is set to expand its footprint in El Paso, Texas, through the acquisition of three Pioneer Bank branches. The announcement, made by Western Heritage officials on Thursday, marks a significant development in the El Paso banking landscape and for Pioneer Bank, even though Pioneer Bank is based out of Roswell, New Mexico, not Las Cruces. This strategic move by the Las Cruces bank underscores its commitment to growth and service expansion in the region.
The acquisition includes Pioneer Bank branches located at prominent El Paso addresses: 6068 Gateway East Blvd., near Geronimo Drive in Central El Paso; 2290 Trawood Drive in East El Paso; and 7015 N. Mesa St. in West El Paso. This purchase from Pioneer Bank will significantly enhance Western Heritage Bank’s physical presence across key areas of El Paso, providing greater convenience for customers.
According to Jim Volk, Western Heritage board chairman and CEO of New Mexico First Financial, the holding company for the bank, all 30 employees currently staffing these Pioneer Bank locations will be offered positions at Western Heritage. Volk, a seasoned banking professional with 45 years of experience, including a previous role as BBVA Compass Bank’s El Paso-area district executive, emphasized the strategic rationale behind the acquisition.
The deal, still pending regulatory approvals, is anticipated to finalize in the second quarter. While specific financial details remain undisclosed, it has been confirmed that Western Heritage Bank will assume approximately $35 million in deposits and acquire a selection of loans from these branches. Crucially, the acquisition also encompasses Pioneer Bank’s home mortgage lending operations in El Paso, adding a valuable service component to Western Heritage’s offerings.
Volk highlighted that acquiring existing branches is an efficient strategy for Western Heritage Bank to achieve rapid growth. “We like the locations,” Volk stated, pointing out the strategic positioning the Pioneer Bank branches provide across El Paso. Beyond physical locations, Volk noted the value of the experienced personnel joining Western Heritage, stating, “We are picking up some good employees.” The acquisition of the home mortgage business from Pioneer Bank further solidifies the strategic benefits of this deal for the Las Cruces-based bank.
This acquisition is not Western Heritage Bank’s first foray into the El Paso market. In the previous year, Western Heritage established its initial El Paso branch through the purchase of a PlainsCapital Bank branch at 4849 N. Mesa St. This latest move to acquire Pioneer Bank’s branches signals a deepening commitment and accelerating expansion for the Las Cruces bank within the El Paso region.
Pioneer Bank, while selling its El Paso locations, maintains a strong presence across New Mexico with branches in Las Cruces, Alamogordo, Carlsbad, Hobbs, Roswell, and Ruidoso. Additionally, Pioneer Bank operates home mortgage offices in Midland, Texas, and Glenwood Springs, Colorado, as per their website. Officials from Pioneer Bank were not available for comment at the time of the announcement.
This acquisition represents a significant development in the regional banking sector, with Las Cruces-based Western Heritage Bank poised to become a more prominent player in the El Paso market, inheriting a solid foundation from Pioneer Bank’s established branch network.
