Four US banking failures – Silicon Valley Bank, Silvergate Capital, Signature Bank and now First Republic Bank – in a matter of months. Many are now hoping that JPMorgan Chase’s $10.6bn acquisition of most of First Republic’s assets and deposits marks the end of a disturbing chapter in US banking history.
The sale of First Republic was brokered by the US Federal Deposit Insurance Corporation (FDIC) over the weekend, just hours after First Republic was seized by regulators, making it the second largest bank failure in US history. The sale to JPMorgan Chase put an end to months of speculation regarding the San Francisco-based lender’s future.
