First Republic Bank Stock In Freefall With $100B In Deposits Withdrawn, Asset Sales Looming

First Republic Bank FRC shares saw carnage in Tuesday's session, plummeting 49.37% after the company reported quarterly results.

While the bank exceeded profit and revenue estimates, shares of First Republic Bank sold off after it announced an unprecedented deposit outflow of $100 billion in the quarter, excluding $30 billion in time deposits obtained from major U.S. banks.

Analysts said the quarter was marked by a dramatic decline in core deposit balances and an increased reliance on high-cost borrowings.

The intraday session was marked by a freefall in First Republic Bank's shares, which also saw a circuit breaker stop.

Shares fell to as low as $8.26, before attempting a timid rebound to $10 and then again falling to close the regular session at $8.10. 

Chart: First Republic Bank Intraday Price Action  

Latest Newsflow on FRC

First Republic Bank's situation is continually changing by the hour, with news reports provoking multiple reactions and wild price swings.

Here is the latest news impacting the stock: 

Christopher Wolfe, head of North American banks at Fitch Ratings, said that First Republic Bank's options are very challenging and probably very costly, especially for shareholders.

The bank said it was "pursuing strategic options" without providing further details.

People familiar with the matter told Bloomberg the company is seeking a $100-billion asset sale to shore up balance sheet and avoid FDIC seizure. 

A source close to First Republic stated the bank would welcome the government "convening the relevant parties to find a solution," but the Treasury declined to comment, according to a report published by the Financial Times. 

Read now: The Latest Analyst Rating For First Republic Bank

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