FRBK - Republic First Bancorp says activist investor Norcross refuses to negotiate

Republic First Bancorp ( NASDAQ: FRBK ) reaffirmed on Monday its commitment to a "full and fair strategic review process" after activist investor George E. Norcross, III, and his Avery Conner Capital Trust demanded that the company form a special committee to investigate alleged breaches of fiduciary duty and corporate waste.

Republic Bank ( FRBK ) responded, saying that while it's conducting a strategic review, independent committees are also investigating shareholder demands regarding alleged actions of former directors and a former CEO of the company.

Meanwhile, the company said that the Norcross group demanded a payment of $3.5M, that the company add its principals to FRBK's board, and that it name Gregory B. Braca as CEO.

Republic First ( FRBK ) said it offered the Norcross group a right to designate an independent director, to interview Braca as a candidate for CEO, and to pay $500K of expense reimbursement for a standstill and a commitment to participate in the strategic review by submitting its proposals for consideration. To date, the group refused to negotiate, FRBK said.

"The Norcross Group's repeated claims that its principals have been ignored by the Board are utterly false," the company said. "Indeed, the Norcross Group has had access to the full Board, through the Norcross Group's advisors, as well as regular dialogue with individual directors (directly and through advisors)."

In September, Republic First ( FRBK ) started the review and said multiple parties had expressed interest in one or more potential transactions.

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