SVB's investment banking arm explores buying lender back, Bloomberg News reports

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The managers of Silicon Valley Bank's investment banking arm, SVB Securities, are exploring ways to buy the collapsed lender back from its parent company, Bloomberg News reported on Saturday.

A notice hangs on the door of Silicon Valley Bank located in San Francisco, California, U.S. March 10, 2023. REUTERS/Krystal Huinvestment banking arm, SVB Securities, are exploring ways to buy the collapsed lender back from its parent company, Bloomberg News reported on Saturday.

SVB Securities Chief Executive Officer Jeff Leerink and his team are seeking help to finance a potential management buyout of the business, the report said, citing people familiar with the matter.There is no certainty that a deal will be reached and other potential buyers could also emerge for the unit, Bloomberg said.

On Friday, startup-focused lender SVB Financial Group became the largest bank to fail since the 2008 financial crisis. California banking regulators closed the bank, which did business as Silicon Valley Bank, and appointed the Federal Deposit Insurance Corporation as receiver for the later disposition of its assets.

 

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