An activist investor group has paused litigation against Republic First Bancorp as the Philadelphia company explores capital-raising options.
The shareholder group, which includes George Norcross, III, Gregory Braca and Philip Norcross said in a press release that it supports the $6.2 billion-asset company’s efforts to bring in more capital.
“We remain actively engaged with the company and other parties on capital raising solutions, including conversations with another financial institution about a potential transaction,” George Norcross said in the release.
“We are focused on helping the Company reach a transaction that provides additional capital,” he added.
The release comes two weeks after the Norcross-Braca group disclosed in a regulatory filing that it was in talks with Republic First and other parties about a direct equity investment and broader capital-raising transaction.
The Norcross-Braca group said they expected any agreement to include changes to the bank’s governance arrangements, including giving their group board representation.
Republic First and the investor group have been sparring for months. The Norcross-Braca group has at times offered to buy the company on the condition that it replaces the CEO.
Republic First announced last summer that it would pursue a $125 million private placement involving Castle Creek Capital and Cohen Private Ventures. The agreement was subsequently terminated.
The company’s stock was recently delisted from the Nasdaq because it has yet to file its 2022 annual report. It now trades over the counter.