An agreement among a group of the nation’s largest banks to deposit some $30 billion with First Republic Bank could be coming this week, according to a Bloomberg report.
Bloomberg reports that banks said to be involved in this deal include JPMorgan Chase & Co., Citigroup Inc., Bank of America Corp., Wells Fargo & Co., Morgan Stanley, U.S. Bancorp, Truist Financial Corp. and PNC Financial Services Group Inc.
A spokesperson from First Republic Bank declined to comment on the new deposits.
News of a possible rescue sent shares of First Republic Bank as high as $39 per share in early afternoon trading Thursday on the New York Stock Exchange.
As TechCrunch colleague Alex Wilhelm reported this week, First Republic’s trading week toptechtrends.com/2023/03/14/first-republic-bounces-back-as-svb-panic-lessens/”>started off with a challenge with shares falling 62% on March 13 as the bank got caught up in the toptechtrends.com/tag/svb-2023-crash/”>Silicon Valley Bank collapse. First Republic’s shares were rebounding as news about the potential new deposits went out.
The bank’s recent 8-K filing shows that while it does have some tech clients, that sector accounts for about 4% of its total deposits, according to Alex’s report.
Bloomberg also reported that First Republic was “exploring strategic options” that could include a possible sale. When asked about a sale, the bank told TechCrunch declined to comment.
toptechtrends.com/tag/SVB-2023-crash/”>
toptechtrends.com/2023/03/16/first-republic-bank-rescue-deposits/”>First Republic Bank could see $30B in rescue deposits coming, report says by toptechtrends.com/author/christine-hall/”>Christine Hall originally published on toptechtrends.com/”>TechCrunch
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