by laflammaster
via CNBC:
Shares of First Republic
dropped sharply on Friday as hopes dimmed for a rescue deal that could keep the bank afloat.Sources told CNBC’s David Faber that the most likely outcome for the troubled bank is for the Federal Deposit Insurance Corporation to take it into receivership. The stock slid about 40% and was halted for volatility multiple times.
The stock has fallen more than 90% this year as investors have lost confidence in the bank after two regional lenders failed in March.
Other banks are being asked by the FDIC for potential bids on First Republic if the bank was seized by seized by the regulator, sources told Faber. There is still hope for a solution that doesn’t include receivership, according to those sources.
First Republic told Faber on Friday that “we are engaged in discussions with multiple parties about our strategic options while continuing to serve our clients.”
U.S. officials lead urgent rescue talks for First Republic
U.S. officials are coordinating urgent talks to rescue First Republic Bank (FRC.N) as private-sector efforts led by the bank’s advisers have yet to reach a deal, according to three sources familiar with the situation.
The Federal Deposit Insurance Corporation (FDIC), the Treasury Department and the Federal Reserve are among government bodies that have in recent days started to orchestrate meetings with financial companies about putting together a solution for the troubled lender, the sources said.
We Will Have Hell To Pay For This Government Intervention In Financial Markets
There goes another $ 200B bank. First Republic ‘FRC’ at $ 4.31 down from $ 210 /share. The central planners’ fiat banking system is collapsing.
Wild.
Senator Krysten Sinema says, "It's gravely concerning that retail participants, literally everyday people, were able to figure out something was wrong with Silicon Valley Bank, before regulators took action." pic.twitter.com/BoAcuPngb5
— unusual_whales (@unusual_whales) March 29, 2023