First Republic Bank's stock craters 75% after it taps backstop billions to shore up liquidity

• First Republic Bank's stock fell more than 75% Monday as investors fretted about the bank's stability.
• The lender said over the weekend that it's getting $70 billion in funding from JPMorgan and the Fed's backstop for depositors.

First Republic Bank's stock cratered more than 76% on Monday, reflecting heightened investor anxiety about the San Francisco-based lender's stability following Silicon Valley Bank's dramatic collapse Friday.

The shares plunged 76.8% to $19, following a 15% slide on Friday, even after the regional bank strived to ease investor concerns about its financial health. Trading in the stock was halted several times over volatility, per Reuters.

The company said in a Sunday filing it's getting $70 billion in funding from JPMorgan Chase and the Federal Reserve's backstop plan that offers one-year loans to banks that pledge collateral.

The US lender's share price started sliding around the middle of last week, accelerating following Silicon Valley Bank's shutdown by regulators. First Republic has been trying to reassure its customers of its "very strong" liquidity position all weekend.

First Republic's stock price fell 33% in 2023 through last week, following a 41% slump last year.

The past week has been a tumultuous one for banks with Silicon Valley Bank (SVB), once a trusted lender for startups, closed down and taken over by US regulators on Friday. That came as the lender's stock price collapsed after it failed to raise $2.3 billion in capital.

US regional banks are now feeling the shockwaves from SVB's collapse. Like First Republic, PacWest Bancorp caters to the same type of venture capital clients as SVB did. The California-based PacWest's stock plunged 43% to $7.11 on Monday while Arizona-based Western Alliance Bancorp was down 76.8% to $11.47 at last check.

Meanwhile, beleaguered Swiss lender Credit Suisse's US-listed shares fell 6.2% to $2.49 on Monday. In Zurich, the bank's shares traded around record lows, dropping 12% to 2.20 Swiss francs ($2.42) at last check.

The collapses of US banks like SVB, Silvergate and Signature are seen to be closely linked to the plunge in crypto assets and tech stocks against the backdrop of the Federal Reserve's aggressive interest-rate increases. But the embattled Swiss banking giant has been facing internal troubles for some time now.