Republic First Bank shakes up executive ranks

Matthew Fazelpoor//December 22, 2022//

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As 2022 winds down, it was only fitting for one more major development to drop in the Republic First Bank saga, one of the year’s most active and tumultuous stories.

On Dec. 22, the bank announced several leadership changes.

Thomas Geisel has been named chief executive officer and president, and as a member of the board of directors, while Michael Harrington has been appointed chief financial officer, all moves effective immediately.

Geisel succeeds Harry Madonna, who is stepping down from the interim CEO role he has held since August. Geisel most recently served as president, Corporate Banking, at Webster Bank (formally known as Sterling National Bank).

“I am excited to be part of the Republic First team at this critical moment. We believe that the company has excellent opportunities to better serve our customers and create increased value for shareholders by focusing on strengthening the bank’s foundation and re-orienting our business strategy,” Geisel said in a statement. “In doing so, we will leverage the strengths of the brand and create a diverse and digitally fluent commercial bank that provides an exceptional client and colleague experience. I look forward to working closely with the management team and all our colleagues to improve financial results and drive greater success.”

Harrington takes over the CFO job from Jonathan Hill, who has served on an interim basis since October. Hill will return to his role as controller. Harrington most recently served as chief financial officer of Bryn Mawr Trust.

In an announcement, Republic First Bank said the new leadership team “will continue to evaluate capital alternatives and drive profitable growth” with several initiatives. -PIXABAY

“I am confident that Republic First can serve its customers and communities well while generating better returns and profit for its shareholders,” Harrington said. “I look forward to working with Tom and the rest of the team at Republic First.”

In the announcement, Republic First Bank said the new leadership team “will continue to evaluate capital alternatives and drive profitable growth” with initiatives including:

Restructuring the balance sheet, including reinvesting cash flow from securities to loans
Lending through expanded distribution points with a focus on allocating capital to optimize risk-adjusted returns and to evaluate additional business lines
Leveraging new technology to enhance the customer experience
Diversifying sources of fee income in both the retain and business segments by offering a broader set of products and services
Driving expense discipline by rationalizing the cost of delivery and investing in technology and digital capabilities

“We are thrilled to welcome Tom and Mike to the management ranks at Republic First,” Madonna said. “Together, they bring more than five decades of experience in the banking and financial services industries, specifically in transforming and growing organizations as well as working with regulators. We support the strategic vision Tom and Mike have laid out for the company. As a Board, we remain committed to guiding the company thoughtfully, ensuring safe and sound banking practices and focusing on the creation of shareholder value.”

Madonna will remain as chairman of the company during the transition to new leadership.

The shakeup comes during a turbulent time for the bank following a proxy fight, which first led to the departure of Vernon Hill and now Madonna, the founder of Republic First Bank, as CEO.

George Norcross led an activist investor group that was once aligned with the Madonna faction in seeking to oust Hill from the top spot (see the archive list at the bottom of this story).

That alliance quickly faded and has led to a new disputes over board seats, compensation packages for current leaders, and more, with the Norcross group questioning the overall stewardship of the bank.

Madonna had reduced the number of board seats from eight to six, but Geisel now becomes the seventh director. Tensions have been simmering heading into a long-delayed shareholder meeting, which has finally been scheduled for late January with formal elections set to decide several seats.

Earlier this week, the Norcross side sought an injunction from the United States District Court for the Eastern District of Pennsylvania to delay that meeting for at least 60 days amid disputes over the Board composition and nomination process.

The Norcross group declined to comment.

“It has been my privilege to once again lead Republic First during this interim period and I would like to thank the Board for the confidence it has continued to place in me,” said Madonna. “The Board and I look forward to working with Tom and Mike over the next few months to ensure a smooth and successful transition.”