Wednesday, June 19, 2024

No love for Novan as shares collapse 78%

A bank buyout that will cost North Carolina the headquarters of its most successful community bank of recent years and a stunning clinical trials disappointment sparked major moves in Carolinas-based stocks for the week ending Jan. 27. The best performing stocks in the Capital Investment Cos./Nottingham Index of public companies:

Insteel Industries  (IIIN)  13% – Steel wire company’s shares have been volatile over the last month on hopes of benefits for more spending on roads and bridges.

Park Sterling (PSTB)  12% – Sale of rival BNC Bancorp could make the Charlotte-based regional bank more attractive to suitors. First Bancorp, another big regional that is based in Southern Pines, gained 6%.

BNC Bancorp (BNCN)  9% –  Tennessee’s Pinnacle Financial Partners is buying High Point-based regional bank for $1.9 billion. BNC CEO Rick Callicutt will run Pinnacle’s business in Carolinas and Virginia.

The weakest performers:
Novan NOVN (-78%) – Morrisville-based drug company reported disappointing results in a trial of its acne treatment. Former Glaxo Wellcome CEO Robert Ingram is chairman.

World Acceptance (WRLD)  (-18%) – Earnings of $9.6 million were much lower than analyst expectations. Shares of Greenville, S.C.-based consumer-finance company have declined 24% in the last month.

Unifi UFI (-8%) – Greensboro-based textile company said net income declined 33% from a year earlier. The company also sold its 60% stake in Repreve Renewables at a $1.66 million loss. 


David Mildenberg
David Mildenberg
David Mildenberg is editor of Business North Carolina. Reach him at

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