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First Republic set for 'imminent' government rescue: Reuters

Published 04/29/2023, 04:50 AM
© Reuters

Investing.com --The U.S. Federal Deposit Insurance Corporation is set to place First Republic under receivership imminently, Reuters reported Friday, citing an unnamed source.

First Republic Bank (NYSE:FRC) fell 47% in after-hours trading following the news after closing down 43% in regular trading.

The need for speed to rescue First Republic comes as the U.S. banking regulator believes that it is unlikely the beleaguered regional lender will be able to pursue a rescue through the private sector, the report said, citing the source.

First Republic and FDIC representatives didn't immediately respond to requests for comment, according to Reuters.

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