After the bank was seized by the US Government earlier this week, a US Regulator is set to take over First Republic Bank.
The U.S. Federal Deposit Insurance Corporation (FDIC) is preparing to place First Republic under receivership imminently, according to Reuters. The FDIC says, “The U.S. banking regulator has decided that the troubled regional lender’s position has deteriorated and there is no more time to pursue a rescue through the private sector.”
Just today, First Republic shares have fallen another 37%. In total, shares are down approximately 96% since the start of the year.
First Republic Bank and FDIC representatives have yet to comment at the request of the media.