Alecta to lead class action lawsuit against First Republic Bank (updated)

First Republic Bank

05/12/2023 14:20

(Adds detail on losses, lawsuit, quote, background)
       COPENHAGEN, Dec 5 (Reuters) - Swedish pension fund
provider Alecta said on Tuesday it will lead a class action
lawsuit against First Republic Bank, with the aim of recovering
as much as possible of the capital that investors lost when the
U.S. niche bank collapsed this year.
    U.S. regulators on May 1 seized First Republic Bank and sold
its assets to JPMorgan Chase & Co  JPM.N , in a deal to resolve
the largest U.S. bank failure since the 2008 financial crisis
and draw a line under a lingering banking turmoil.
    Sweden's largest pension fund provider lost 19.6 billion
crowns ($1.92 billion) from share holdings in First Republic
Bank, Silicon Valley Bank and Signature Bank.
        "We have a duty to take the legal measures we can to
recover as much of the capital as possible after the collapse of
First Republic," Alecta CEO Peder Hasslev, said in a statement.
  
        The process is being conducted with the help of U.S.
litigation lawyers, Alecta said. 
  
        Norway's sovereign wealth fund and Swedish pension fund
AP7 were 
    last week
     named co-lead plaintiffs in an ongoing class action
relating to the now-bankrupt Silicon Valley Bank (SVB).
  

 (Reporting by Louise Breusch Rasmussen, editing by Terje
Solsvik)
 ((Louisebreusch.rasmussen@tr.com; +45 21 27 97 79;))