Primis Financial Corp. announced on May 13, 2025, that it has deconsolidated Panacea Financial Holdings (PFH) effective March 31, 2025. This strategic move resulted in the recognition of a pre-tax gain of approximately $24.6 million.
The company's retained investment in PFH was valued at $21.2 million as of March 31, 2025, as determined by an independent third-party evaluation. Additionally, Primis expects to recoup certain consolidated operating losses totaling $3.4 million.
The deconsolidation is expected to yield an after-tax gain of approximately $20.0 million, or $0.81 per share. This action will improve Primis's reported Return on Assets (ROA) by 10 basis points and decrease its operating efficiency ratio by approximately 14 points, while Primis Bank will continue as the exclusive banking partner for the Panacea division.
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