Western Alliance Shares Rise Post-Market on Deposit Update

Western Alliance Bancorporation gained 8% post-market after the bank said deposits had increased by more than $2 billion since the quarter’s end, about $200 million higher than last week’s update.

(Bloomberg) — Western Alliance Bancorporation gained 8% post-market after the bank said deposits had increased by more than $2 billion since the quarter’s end, about $200 million higher than last week’s update.

The bank previously reported that deposit levels had increased $1.8 billion from the end of the prior quarter to $49.4 billion as of May 9. The latest figures indicate deposit levels increased by another $200 million between May 9 and May 12.

Western Alliance was one of the regional banks initially swept up in the turmoil that followed the collapse of four other lenders, which were felled by a combination of rising interest rates and fleeing depositors. 

But the bank has since been rebuilding its own deposits and the stock, which spiked below $8 intraday in March, touched $36 in extended trading on Tuesday. It closed the regular session at  $31.59.  

(Updates with stock recovery in the third paragraph)

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