First Republic Bank: JP Morgan will buy First Republic Bank, depositors will get full money

Posted on 2nd May 2023 11:26 am by rohit kumar

America's 14th-largest First Republic Bank has been acquired after failing banking operations. JPMorgan Chase & Co won the bid to acquire the bank. JP Morgan will acquire First Republic's assets, which include approximately $173 billion in loans and $30 billion in securities, as well as $92 billion in deposits.

 

The agency said in a statement early Monday that JPMorgan and the Federal Deposit Insurance Corp agreed to share the burden of losses on commercial loans as well as any recoveries. "Our financial strength, capabilities, and business model allowed us to win the bid," he said.

 

11 American banks tried to save the First Republic

Shares of First Republic plunged more than 33% during pre-market trading as of 4:06 a.m. in New York, putting it on track to extend its decline of 97% this year. JPMorgan shares gained 3.8%. Eleven US banks tried to keep the First Republic afloat by pledging $30 billion in new deposits on March 16, including JPMorgan, Bank of America Corp, Citigroup Inc, and Wells Fargo & Co.

 

Goldman Sachs Group Inc and Morgan Stanley and other banks had offered smaller amounts as part of a plan drawn up with US regulators. But this was not enough. The stock, which was above $170 billion in March 2022, fell below $5 billion by the end of April.

 

First Republic Bank has been sold and bought many times

First Republic Bank has been bought and sold many times over the years. Merrill Lynch & Company paid $1.8 billion to acquire First Republic in 2007. Its ownership was then passed to Bank of America when it bought Merrill Lynch in 2009. Then in mid-2010 investment firms including General Atlantic and Colony Capital bought First Republic for $1.86 billion and took it public.

 

Also Read: Repo Rate: RBI Monetary Policy April 2023 Minor relief from the increasing burden of loan and EMI, no change in repo rate this time

Other news

Aniket Verma became famous as soon as he made his IPL debut, and did not get a chance in Ranji, but now he has stunned the big stars.

There is so much competition in cricket that the life of many players ends before reaching the do

India-Pak Relations: Relations with Pakistan will remain frozen for now, Shahbaz Sharif becomes Prime Minister; PM Modi did not congratulate

After almost 22 months, PML-N leader Shehbaz Sharif has once again taken oath as the Prime Minist

RG Kar: Doctors took out a torch rally before the Supreme Court hearing, may start a 'work stop' strike again

The Supreme Court is scheduled to hear the case of rape and murder of a female doctor at Kolkata'

Kangana Ranaut Slapped: Family in support of Kulwinder Kaur, brother Sher Singh told the inside story of the slapping incident

Kulwinder Kaur, the CISF female constable who came into the news after slapping Bollywood Queen a

Bappa arrived at Salman Khan's house, and Bhaijaan celebrated Ganesh Chaturthi with great pomp by performing Aarti with his parents

Whenever Ganesh Chaturthi comes, celebrations start not only in the houses of common people but a

PM Modi: PM Modi inaugurated the ITU Conference-Mobile Congress, more than 190 countries are participating

Prime Minister Narendra Modi on Tuesday inaugurated the World Telecommunication Standardizat

"The world saw the Jaish terrorist weeping and narrating his plight," PM Modi said, adding that he was not afraid of anyone's nuclear threats.

Prime Minister Narendra Modi said that terrorists from Pakistan had destroyed the vermillion (sin

Zubeen Garg's Last Rites: Zubeen Garg was given a final farewell with state honours, with Guwahati's streets jammed with people.

The news of "Ya Ali" singer Zubin Garg's death shocked everyone. According to reports, Zubin Garg

World Cup 2023 Points Table: Major reshuffle in the points table due to Afghanistan's victory, along with Sri Lanka, Pakistan also suffered a huge loss.

World Cup Latest Points Table: In the ICC World Cup 2023, Afghanistan caused the third major upse

New Year celebration: Masks are mandatory in Bangalore, whistling in public places is prohibited; know the condition of Delhi and Mumbai

The whole country is preparing for celebrations on New Year's Eve. In such a situation, security