First Republic Bank Frankfurt-listed shares rise after rescue

LONDON (Reuters) – The Frankfurt-listed shares of First Republic Bank (NYSE:) rose as much as 5% in in early trading on Friday after large U.S. banks injected $30 billion in deposits into the beleaguered lender on Thursday.

Fears of an imminent collapse of the San Francisco-based bank prompted a deal put together by top power brokers including U.S. Treasury Secretary Janet Yellen, Federal Reserve Chairman Jerome Powell and JPMorgan Chase (NYSE:) CEO Jamie Dimon.

However, while First Republic’s stock closed up 10% on news of the rescue, its shares fell 17% in after-market trading after the bank said it would suspend its dividend and disclosed its cash position and just how much emergency liquidity it needed.

Frankfurt-listed shares in other U.S. banks including Zions Bancorp and Fifth Third were indicated up around 3%.

First Republic was caught up in a widening banking crisis triggered by the collapse of two other mid-size U.S. lenders over the past week.

The rescue package came less than a day after Swiss bank Credit Suisse clinched an emergency central bank loan of up to $54 billion to shore up its liquidity.