PacWest Tries to Calm Jittery Markets After 60% Stock Plunge
- Lender says it’s been approached by potential investors
- Stock pares drop after plummeting 60% in after-hours trading
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PacWest Bancorp said core deposits have increased since March and confirmed it’s in talks with several potential investors, seeking to calm markets after a 60% stock rout that made it the new focal point of concern over the health of US regional lenders.
“The bank has not experienced out-of-the-ordinary deposit flows following the sale of First Republic Bank and other news,” PacWest said in a statement after the stock’s post-market plunge. “Our cash and available liquidity remains solid and exceeded our uninsured deposits.”