ALEXANDRIA, Va.--(BUSINESS WIRE)--Armed Forces Benefit Association (AFBA), through its investment trust, announced the acquisition of 5Star Bank by management-led Little London Bancorp Inc. (Little London).
“AFBA is experiencing significant growth in its life insurance program which requires increased capital to sustain such expansion,” said AFBA Chairman and Trustee, Ralph “Ed” Eberhart.
“This will be a Colorado Springs bank controlled by local residents and investors from the community who have extensive ties to the Colorado Springs area. Little London was selected from among several bidders to acquire 5Star Bank. The group plans no changes in management and will retain the bank's 26 employees when the transaction is completed,” said Michael League, President and CEO of 5Star Bank and Chairman and CEO of Little London.
The Bank operates three branches: one in downtown Colorado Springs, one at Peterson Air Force Base and the third at InterQuest Business Park. As of December 31, the Bank had combined assets of $172.8 million, deposits of $131.4 million and loans of nearly $111 million.
“We are pleased to have signed an agreement with Little London. We are delighted that this is a management acquisition that will ensure the legacy of 5Star Bank is preserved – for AFBA members and 5Star Bank customers. Mike has served as the bank president for over seven years and understands the values, principles and culture that have been our trademarks,” General Eberhart said.
About Armed Forces Benefit Association (AFBA)
Headquartered in Alexandria, Va., Armed Forces Benefit Association (AFBA) was established in 1947 with the support of the General of the Army, Dwight D. Eisenhower to ease the strain on military members and their families. At that time, military members could not purchase life insurance that would pay a death benefit if the member was killed in combat. AFBA continues to honor the mission set forth by its founders—to promote the welfare of its members and their families by providing high quality, low cost life insurance products and other financial benefits and services in peace and in war.
From its first offices in the basement of the Pentagon and for almost 70 years, AFBA has stood by our country’s armed forces. Today, AFBA is a market leader in offering low cost life insurance to those who serve this great nation to include members of the uniformed services, first responders, government employees and their families. AFBA currently has over 435,000 members with over $42 billion of life insurance in force and in excess of $1.7 billion of claims paid since inception. These life insurance programs are underwritten by 5Star Life Insurance Company, a related enterprise of AFBA.
For more information about AFBA, visit www.afba.com.