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- The Pennsylvania Department of Banking and Securities on Friday shut down Republic First Bank (OTC:FRBK), d/b/a Republic Bank.
- Although the Philadelphia-based lender had been seeking a buyer and the FDIC was involved in talks with some potential buyers, those discussions fell apart.
- The failure is the first for a bank so far in 2024.
- Fulton Bank (NASDAQ:FULT), of Lancaster, Pa., reached a deal with the FDIC to assume substantially all of the deposits and purchase substantially all of the assets of the troubled bank.
- The next business day Republic First (OTC:FRBK) banks open, they will do business as Fulton Bank (FULT). Republic Bank has 32 branches in New Jersey, Pennsylvania, and New York.
- As of Jan. 31, Republic Bank had ~$6B in assets and $4B in deposits. The FDIC projects the bank failure will cost its Deposit Insurance Fund $667M.
- In after-hours trading, Republic First (OTC:FRBK) is down 60% while Fulton Financial (FULT) is up ~6%.
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