shares of Bank of the First Republic FRC It continued to decline after the close on Friday, falling 37% to $2.21 on continued weakness after an earlier report suggested the bank would be put under receivership by the US Federal Deposit Insurance Corporation.

According to Reuters, the upcoming FDIC decision comes as the financial condition of the ailing regional lender continues to deteriorate and there is no time for a private-sector-led bailout.

See also: ‘First Republic Vs. Everything Else’: Jim Cramer defends his favorite bank as stock plummets 21% after first-quarter pressure

An anonymous source speaking to Reuters said Friday that US banking regulators have determined that First Republic’s situation has deteriorated to the point where immediate action is needed. The anticipated FDIC intervention reflects the regulator’s growing concern about the bank’s stability and ability to meet its financial obligations.

That dashed hopes of a bailout for the bank, which has fallen over 97% year-to-date.

Shares of the embattled lender fell earlier in the week after reported a decline in deposits and revenue for the first quarter and said it would not be taking questions on its conference call.

First Republic stock traded at $122.50 on March 1 before falling, having previously hit a 52-week high of $171.09 in August 2022.

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