USA largest banks moved Thursday to shore up the First Republic, easing fears that the regional lender could be the next domino to fall after collapses including Silicon Valley Bank.
A consortium of 11 US private banks, including Bank of America, Citigroup and JPMorgan Chase, announced they would deposit $30 billion into First Republic.
The move marks a dramatic initiative by the lenders to bolster the system following the failures of three midsized lenders in the last week.
Bank of America, Citigroup, JPMorgan Chase and Wells Fargo each are making a $5 billion uninsured deposit in the First Republic, while Goldman and Morgan Stanley will put in $2.5 billion each. A group of five other lenders, including PNC Bank and US Bank, are each allotting $1 billion.
Leave a comment