First Republic Bank is the third major U.S. bank to collapse in recent months

1st May 2023

First Republic Bank has become the third bank to fail in recent months and the giant JPMorgan Chase will assume all of its assets, according to the Federal Deposit Insurance Corporation.

The FDIC said the deal avoids the agency having to use its emergency powers and would minimize disruptions for customers. It comes in the wake of the failure of Silicon Valley Bank and Signature Bank shortly thereafter.

Under the deal JPMorgan Chase is set to take on "all of the deposits and substantially all of the assets of First Republic Bank" after the Federal Deposit Insurance Corporation (FDIC) confirmed that the troubled bank had collapsed on Monday.

"JPMorgan Chase Bank, National Association submitted a bid for all of First Republic Bank's deposits. As part of the transaction, First Republic Bank's 84 offices in eight states will reopen as branches of JPMorgan Chase Bank, National Association, today during normal business hours," the FDIC said in a statement obtained by ABC News. "All depositors of First Republic Bank will become depositors of JPMorgan Chase Bank, National Association, and will have full access to all of their deposits."

See more at -
https://www.nbcnews.com/business/business-news/first-republic-bank-fdic-takeover-sold-jp-morgan-rcna81437