Fulton Financial Corp Acquires Republic First Bancorp in Industry Reshuffle

Fulton Financial Corp, a Pennsylvania-based bank, has made a significant acquisition in the regional-banking industry. This move saw the purchase of Republic First Bancorp, which operated as Republic Bank with multiple branches across Pennsylvania, New Jersey, and New York. The Federal Deposit Insurance Corp (FDIC) conducted an auction, resulting in the acquisition of Republic First by Fulton Financial Corp’s subsidiary, Fulton Bank.

Following the seizure of Republic First by Pennsylvania state banking regulators, the FDIC stepped in as the receiver and facilitated the agreement with Fulton Bank to protect depositors. The acquisition marks the first bank failure in the U.S. this year, according to a statement by the FDIC.

Fulton Financial Corp disclosed that they acquired a significant portion of Republic First Bancorp’s assets and deposits in the transaction. With over $27 billion in assets, Fulton Bank absorbed approximately $6 billion in assets and $5.3 billion in liabilities from Republic Bank. This includes a substantial investment portfolio and loans.

Republic Bank customers will experience a transition to Fulton Bank branches, ensuring continued access to their accounts through various banking channels. Fulton’s CEO, Curt Myers, emphasized that this acquisition will double their presence in the region, aligning with the company’s expansion strategy.

Market reactions to the acquisition were positive, with Fulton Financial Corp’s stock rising by 10% after hours. In contrast, Republic First Bancorp’s shares closed at a minimal value before the announcement.