The Bank Slate

INSIGHTS INTO THE BANKING INDUSTRY

Investor group pitches $75M investment in Republic First

A shareholder group has updated an offer to significantly increase its investment in Republic First Bancorp in Philadelphia.

A group that includes George Norcross III, Philip Norcross and Gregory Braca sent the $5.6 billion-asset company’s investment bank a term sheet that proposes making a direct investment of $75 million.

The group would invest by buying newly issues nonvoting common stock. The move would require shareholder approval.

The Norcross-Braca group has publicly sparred with Republic First, largely over the company’s strategy under former CEO Vernon Hill. But they have continued to disagree after Hill was ousted.

The shareholder group in September proposed investing $50 million in Republic First. In March, the investors expressed an interest in buying the company and appointing Braca as CEO.

Republic First recently hired an investment bank to explore strategic options after several banks expressed an interest in buying the company. Earlier this month, the company hired Tom Geisel, a former executive at Webster Financial, as its permanent CEO.

The company plans to hold its long-delayed annual meeting in January. It recently rejected an effort by the Norcross-Braca group to nominate a director on technical grounds.

Leave a Reply

Your email address will not be published. Required fields are marked *