First Republic Shares Plummet, Trading Halted as Reports Suggest FDIC Receivership Likely
First Republic’s shares dropped to all-time lows on April 28 following reports that the bank is entertaining the possibility of receivership by the Federal Deposit Insurance Corporation (FDIC). The bank’s stock fell by more than 50 percent and trading was halted multiple times throughout the day.
CNBC reported that multiple banks were approached by the FDIC and asked to offer bids on First Republic, though many involved remain optimistic that it will not come to receivership.
“We are engaged in discussions with multiple parties about our strategic options while continuing to serve our clients,” First Republic told the financial news outlet….