US regulators seize troubled lender Republic First, sell it to Fulton Bank

U.S. regulators have seized Republic First Bancorp and agreed to sell it to Fulton Bank, underscoring the challenges facing regional banks a year after the collapse of three peers.

Philadelphia-based Republic First, which had abandoned funding talks with a group of investors, was seized by the Pennsylvania Department of Banking and Securities.

The Federal Deposit Insurance Corp (FDIC), appointed as a receiver, said on Friday Fulton Bank, a unit of Fulton Financial Corp will assume substantially all deposits and purchase all the assets of Republic Bank, which is the operating name for Republic First, to “protect depositors”.

“With this transaction, we are excited to double our presence across the region,” said Fulton Chairman and CEO Curt Myers in a statement.