SVB Financial filed for bankruptcy protection on Friday, about a week after California banking regulators closed Silicon Valley Bank in the largest U.S. bank failure since the 2008 financial crisis.The FDIC receivership removed SVB Financial’s primary source of liquidity and most of its business infrastructure, as well as triggering defaults on SVB Financial’s debt, forcing the company into bankruptcy, according to court documents.
SVB Financial’s court filings listed $19 billion in assets, $2.2 billion in cash and cash equivalents, and $3.4 billion in liabilities. About $15.5 billion of SVB Financial’s asset value was attributed to the SVB banking business that was seized by regulators. SVB Capital, the venture capital and credit investment arm of the company, manages about $9.5 billion in other investors’ money spread across 30 pooled investment funds, according to Kosturos’ declaration.
Those investment funds include direct venture funds that invest in companies, funds-of-funds that invest in other venture capital funds, and debt funds that provide lending and other financing solutions to startups. SVB Securities is an investment bank that provides financial services to healthcare and technology companies, according to Kosturos’ declaration.In its court filings on Sunday, SVB Financial also made several requests intended to continue smooth operation of its business during its bankruptcy, such as asking for permission to maintain its existing bank accounts and to continue paying for services provided by SVB employees.