Other closures are largely expected, though plans have yet to be announced for First Republic’s remaining locations.
This article is based on corporate postings and accredited media reports. Linked information within this article is attributed to the following outlets: CNBC.com and Reuters.com.
I write extensively about the state of U.S. banks for NewsBreak, and now comes word, as expected, that California’s First Republic Bank is shuttering locations per its acquisition by JPMorgan Chase.
For perspective, a May 1 report from CNBC.com, entitled “JPMorgan Chase Takes Over First Republic After U.S. seizure of Ailing Bank,” states the JPMorgan Chase development was looked upon industry-wide as a net positive in the midst of a substantive banking crisis.
As excerpted from the report: Regulators took possession of First Republic on Monday, resulting in the third failure of an American bank since March, after a last-ditch effort to persuade rival lenders to keep the ailing bank afloat failed. JPMorgan Chase, already the largest U.S. bank by several measures, emerged as winner of the weekend auction for First Republic.
The other two failed banks referenced are Silicon Valley Bank and Signature Bank.
Let us explore current developments further.
First Republic, 2023
According to a report from Reuters.com, entitled “JPMorgan to Close 21 First Republic Bank Branches,” though closures have been expected the numbers and timeframes have been speculative.
From Reuters: JPMorgan Chase & Co (JPM.N) will shut 21 branches of First Republic Bank by the end of the year as it integrates the failed lender into its operations, a JPMorgan spokesperson said on Thursday. The locations account for about a quarter of First Republic's 84 branches across eight states.
No formal plans have yet been announced for the remaining First Republic Bank locations.
This is a developing story. In the event of pertinent updates to this matter, I will share them here on NewsBreak.
Thank you for reading.