U.S. regulator set to take over First Republic

First Republic Bank branch in San Francisco
People walk past a First Republic Bank branch in San Francisco, California, U.S. April 28, 2023. REUTERS/Loren Elliott

NEW YORK, April 28 (Reuters) - The U.S. Federal Deposit Insurance Corporation (FDIC) is preparing to place First Republic under receivership imminently, a person familiar with the matter said on Friday.

The U.S. banking regulator has decided that the troubled regional lender's position has deteriorated and there is no more time to pursue a rescue through the private sector, the source said, requesting anonymity because the matter is confidential.

First Republic and FDIC representatives did not immediately respond to requests for comment.

Reporting by Greg Roumeliotis in New York

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