JPMorgan Chase & Co. was in talks to boost its offer March 24 for Bear Stearns to $10 per share from $2.

The discussions were aimed at soothing Bear Stearns' shareholders upset over JPMorgan's earlier offer, made at the behest of the Federal Reserve when the investment bank was near collapse.

Bear Stearns ran into trouble with mortgage-backed securities and an evaporation of liquidity amid nervousness in the credit markets after the subprime crisis.