Republic First Bank was recently seized by Pennsylvania regulators, leading to the FDIC reaching a deal with Fulton Financial to take over the bank. This deal includes assuming most of the deposits and purchasing a majority of the bank’s assets.
With about $6 billion in total assets and $4 billion in total deposits, Republic Bank had a significant presence with 32 branches in New Jersey, Pennsylvania, and New York. These branches will now reopen as Fulton Bank branches with the takeover.
The FDIC estimates the cost of insuring the deposits related to Republic Bank’s failure to be around $667 million. Following the news of the takeover, Fulton Financial’s stock saw a 10% increase to 17.20, with a 17.09 buy point based on a four-month consolidation or a long handle in a base dating back to late 2022.
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