Republic First Bancorp Inc. FRBK said Friday it’s exiting its legacy mortgage origination business because it no longer aligns with the bank’s preference for “shorter duration and better risk-adjusted return asset classes.” The bank said its traditional businss of long-term jumbo mortgages, priced at aggressive rates “is no longer consistent with the company’s strategy for enhancing profitability and dedicating more resources to core business lines.” The Philadelphia-based bank will also streamline its commercial lending activities in New York City, including a workforce reduction. The bank did not provide any potential headcount reduction figures. Republic First Bancorp stock is up 5% in premarket trades, after dropping 7% in the previous session.
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