JP Morgan set to acquire First Repulic Bank

Troubled First Republic Bank has been seized and all its assets will be acquired by JP Morgan, US regulators said on Monday. This is the third bank collapse in the US in the last two months. Information has been given by the news agency Reuters.

In a statement issued by JP Morgan, it has been said that it has acquired First Republic Bank’s loan portfolio of $ 173 billion and bank deposits of $ 92 billion with security of $ 30 billion.

First Republic Bank shares fell 36 percent

First Republic Bank fell as much as 36 per cent in the premarket trend and the bank’s stock has lost 97 per cent of its value so far this year. At the same time, JP Morgan’s stock was trading with a gain of 2.6 percent.

First Republic Bank’s business model was similar to that of Silicon Valley Bank, which sank in March.