A group has terminated an agreement to invest in Republic First Bancorp in Philadelphia.
The group, which includes George Norcross III, Gregory Braca and Philip Norcross, agreed in September to invest $35 million in the $6.2 billion-asset Republic. The plan was for Republic will raise another $40 million from other investors.
Republic First disclosed in a Wednesday regulatory filing that the Braca-Norcross group opted to terminate the deal because it will not be completed by the Feb. 29 outside date included in the agreement. The expiration date had previously been extended from Nov. 30.
The investor group cited the company’s delayed 2022 annual report and shareholder meeting as reasons for walking away.
“Our strategic plan has been designed to be executed even without the investment announced last fall,” Republic First said in the filing.
“We have continued to maintain the bank’s adequately capitalized position, and believe we have a strong deposit base and ample liquidity,” the filing added. “We also believe we have the resources to allow our talented employees to continue to deliver extraordinary service to our loyal customers.”
The company said it is working with a third party to improve its financial reporting, which “is key for us and investors in considering opportunities for growth capital in the future.”