Parent company of Silicon Valley Bank files for bankruptcy

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The parent company of Silicon Valley Bank has filed for Chapter 11 bankruptcy protection.

FILE - Customers and bystanders form a line outside a Silicon Valley Bank branch location, Monday, March 13, 2023, in Wellesley, Mass. SVB Financial Group is filing for Chapter 11 bankruptcy protection, Friday, March 17. SVB Financial Group is no longer affiliated with Silicon Valley Bank or the banks private banking and wealth management business, SVB Private. SVB Financial Group ran Silicon Valley Bank up until it was seized last Friday.

The bankruptcy filing by SVB Financial Group creates a legal battle over the bank's remaining assets between the creditors of the holding company and regulators who are looking to make depositors whole. “The Chapter 11 process will allow SVB Financial Group to preserve value as it evaluates strategic alternatives for its prized businesses and assets,” William Kosturos, chief restructuring officer for SVB Financial Group, said in a statement.

 

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