FDIC races to find buyer for collapsing First Republic Bank: reportBy Katherine Donlevy
April 29, 2023
Federal regulators are scrambling to find a buyer for First Republic Bank as the banking company’s stock continue to tumble, according to a report.
The Federal Deposit Insurance Corp. has asked several high-powered banks — including JPMorgan Chase & Co., PNC Financial Services Group Inc., US Bancorp and Bank of America Corp. — to submit final bids for First Republic Bank by Sunday after gauging initial interest earlier in the week, sources told Bloomberg.
The FDIC reached out to the banking corporations Thursday, one day after Shares of First Republic Bank plummeted 30%.
The bank suffered an initial 50% stock price drop Tuesday after the San Francisco-based lender revealed that customers withdrew $100 billion worth of deposits — 40% of the company — in the first three months of the year.
The massive nose dive pushed First Republic Bank to seek out federal assistance and be placed under receivership.
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Source:
https://nypost.com/2023/04/29/fdic-races-to-find-buyer-for-collapsing-first-republic-bank/