Despite the systematic efforts of US regulators, banking crisis continues USAWith PakWest to be next in search of a buyer and claims to be in touch with potential partners and investors. Its share price plunged 50% yesterday, and since last month it has announced that its deposits have fallen by more than $5 billion in the first quarter of the year. However, shares of other small or regional banks which, like PacWest, present similar pathogens or features to Silicon Valley and other banks that have collapsed since March.

This was preceded by the intervention of the US Federal Deposit Insurance Agency a few days ago, which took control of the regional bank. First Republic and immediately sold it to the largest American bank, JPMorgan Chase. But six weeks ago, this was preceded by PacWest’s announcement that the company had received a capital increase and raised $1.4 billion through a line of credit from investment firm Atlas SP Partners. Meanwhile, Western Alliance shares fell 25%, which also worried investors after the collapse of three US banks. Shares of Zions Bancorp and Comerica also fell about 10%.

PacWest, in particular, attracted negative publicity due to some similarities to Silicon Valley, a regional bank that primarily funded tech startups that collapsed in March, setting off a domino effect in the US banking sector. PacWest had significant stakes in technology companies, most of its deposits were uninsured, and, like many banks, it accumulated a large amount of bonds and securities in its portfolio, which, after aggressive growth, interest rates lost some of their value.

It announced last month that its deposits were down $5 billion in the first quarter, but said it has since halted the outflow and recorded a $1 billion inflow since March. Earlier in the week, he also announced that the amount of deposits was $28 billion, which is clearly less than that of Silicon Valley Bank and First Republic. According to relevant announcements, 75% of its deposits are covered by the federal deposit insurance system, and the price of its shares has lost a total of 77% of its value since the beginning of March.

During the first quarter, he recorded a net loss of $1.21 billion, while he estimates a loss of $860 million in his portfolio of bonds and securities. Moreover, he is causing concern among his investors and creditors that more than 75% of its lending is real estate, as real estate loans carry a high risk of non-performing during periods of rising interest rates. Only 8% of its loan portfolio is held by companies that invest in non-listed companies.