Pacific Western Bank explored capital raise, says deposits have stabilized
2023.03.22 09:42
© Reuters
(Reuters) – Pacific Western Bank said on Wednesday its deposits have stabilized and it had more than $11.4 billion in cash as of March 20, although it had explored a capital raise with potential investors.
The bank said deposits insured by the Federal Deposit Insurance Corporation, including accounts eligible for pass-through insurance, exceeded 65% of its total deposits, as of March 20.
The bank said it had secured $1.4 billion in fully funded cash proceeds from ATLAS SP Partners through a new senior asset-backed financing facility.
Regional banks, whose stocks have been battered since the collapse of two mid-sized U.S. lenders this month, have scrambled to assure customers their deposits are secure after the two bank runs whipsawed the global financial ecosystem.
Shares in the bank, which lost roughly 47% of their value so far this year, were down nearly 13% in trading before the bell.
