- JPMorgan Chase & Co will acquire First Republic Bank in a government-led deal for the failed lender.
- First Republic was the second-biggest bank failure in US history and the fourth regional lender to collapse since early March.
- JPMorgan acquired about $173bn of First Republic's loans, $30bn of securities and $92bn in deposits.
- JPMorgan expects to recognize a one-time gain of $2.6bn tied to the transaction and the transaction is expected to generate more than $500m of incremental net income a year.
- Marianne Lake and Jennifer Piepszak, co-CEOs of JPMorgan’s consumer and community banking unit, will oversee the acquired First Republic business.
JPMorgan Ends First Republic’s Turmoil After FDIC Seizure
JPMorgan has agreed to acquire First Republic Bank, the second-biggest bank failure in US history, in a government-led deal, acquiring about $173bn of loans, $30bn of securities and $92bn in deposits.