The first auction to sell Silicon Valley Bank (SVB) after it was shut down by US regulators did not attract bids from major US banks. Only one organization made an offer, which was rejected by the Federal Deposit Insurance Corporation (FDIC). However, the FDIC has the flexibility to sell the bank after it was declared a "systemic" threat to the financial system. This could include incentives for potential buyers, such as loss-sharing agreements. There is no schedule for a second auction yet. The FDIC is an independent agency of the US government established to protect depositors when a bank fails and assist in the resolution of a bank's assets and liabilities. On March 10, the California financial regulator closed SVB after it announced a significant asset and stock sale to raise $2.25 billion and strengthen operations. Yesterday (March 13), HSBC announced that it had rescued SVB's UK branch by acquiring it for ÂŁ1 ($1.21).
FDIC will wage fight against Silicon Valley Bank
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AUCTION
12,88
-3.37%
ONE
0,01166
-5.28%
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