NEW YORK - JPMORGAN Chase & Co has agreed to acquire the deposits of struggling savings and loan Washington Mutual in a government-brokered deal, the Wall Street Journal reported on Thursday.

Earlier, JPMorgan, the third-largest US bank, said it would hold an investor conference call at 9.15pm EDT on Thursday (9.15am Singapore time, Friday), but it did not say why.

JPMorgan officials were not available for comment.

Sources have said that JPMorgan was one of the banks circling Wamu, the largest US thrift, which has been talking to buyers about selling itself.

Wamu shares, which plunged 25 per cent in the main session of the New York Stock Exchange to close at US$1.69 (S$2.40), were up 17 per cent in after-hours trading.

Sources previously have told Reuters that regulators are eager for the savings and loan to forge a deal, but no deadline or requirement had been placed on the bank to accept a takeover offer or split itself among several suitors.

The main auction has been slowed by the government talking to potential suitors about possible financial support for a deal.

However, the pressure is on to strike a deal for the Seattle-based thrift amid continued uncertainty in the financial sector.