First Republic Bank has successfully garnered $30 billion in deposits from a consortium of prominent banks, as stated in an official announcement on Thursday. This financial support serves as a vital rescue package for the institution.
The participating banks include JPMorgan Chase & Co, Citigroup Inc, Bank of America Corp, Wells Fargo & Co, Goldman Sachs Group Inc, Morgan Stanley, and several others, as per the joint statement.
Amidst volatile trading on Thursday, First Republic’s shares experienced a notable increase of nearly 6%, reaching $32.92. Earlier in the day, the stock had plunged by 36%, only to rebound by up to 40% following the news of the rescue plan.
Over the past week, the shares have witnessed a significant decline, losing two-thirds of their value. Comparatively, the month-to-date losses amount to over 65%.