CMUV Bancorp Shareholders Approve Asset Sale to Frontwave Credit Union, Company Dissolution

CMUV Bancorp, Inc. shareholders have approved the sale of assets and assumption of liabilities of Community Valley Bank to Frontwave Credit Union, along with the subsequent dissolution of the company. This decision, made during a Special Meeting on July 15, 2025, enables shareholders to receive cash distributions from the transaction proceeds, estimated at approximately $25.00 per share. The approval represents a significant corporate transition, shifting Community Valley Bank's operations under Frontwave Credit Union's ownership while winding down CMUV Bancorp's corporate structure.

The first distribution to shareholders is anticipated shortly after the closing of the asset sale to Frontwave, expected around September 30, 2025, pending regulatory approvals. Shareholders holding stock certificates directly through Computershare must locate these documents, as they will be necessary to receive distributions. Those holding shares via 'book entry' or through a broker will not need to submit a certificate. In the coming weeks, shareholders will receive transmittal materials from Computershare, the company's exchange agent, detailing how to return stock certificates and instructions for the distribution process. Prompt return of these materials is emphasized to avoid delays in receiving payments.

This transaction matters because it consolidates banking services under Frontwave Credit Union, potentially enhancing operational efficiency and customer service offerings in the community banking sector. For shareholders, the $25.00 per share distribution provides immediate liquidity, reflecting the value realized from the asset sale. The dissolution of CMUV Bancorp eliminates future corporate governance requirements and operational costs, allowing shareholders to fully capitalize on the transaction's proceeds. Additionally, the company confirmed that third-quarter dividends for 2025 will not be issued separately but will be included in the distribution amounts to shareholders, simplifying the payment process.

The implications extend to the broader financial landscape, as this asset sale demonstrates ongoing consolidation trends in community banking, where smaller institutions merge with larger entities to improve competitiveness. For customers of Community Valley Bank, the transition to Frontwave Credit Union may bring expanded service options and digital banking capabilities. Regulatory approvals remain a critical final step, with the September 30, 2025 target date contingent on meeting all requirements. Shareholders should monitor communications from Computershare at https://www.computershare.com for updates on distribution timelines and procedures. This approval marks the culmination of strategic planning by CMUV Bancorp's board to maximize shareholder value through asset monetization and corporate dissolution.