First Citizens bank is left with the assets and deposits of the bankrupt Silicon Valley
The operation includes the purchase of 72,000 million dollars of assets with a discount of 16,500. The United States estimates the cost of the fall of SVB at 20,000 million.
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Euskaraz irakurri
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Silicon Valley Bank. Photo: EFE.
Euskaraz irakurri: First Citizens bankuak Silicon Valley Banken aktiboak eta gordailuak erosi ditu
The First Citizens bank will take over the assets, deposits and loans of the Silicon Valley Bridge Bank (SVB), according to a statement from the Federal Deposit Insurance Corporation (FDIC) of the United States.
After two weeks of searching for a buyer, and after the fall and state intervention of the entity specializing in loans and deposits for entrepreneurs, it will be a regional entity based in Raleigh, North Carolina, which will take over most of the assets. The transaction includes the purchase of $72 billion of assets at a discount of $16,500.
SVB depositors will automatically become First–Citizens Bank & Trust Company depositors, and all assumed deposits will continue to be FDIC-insured up to the insurance limit.
As of March 10, SVB had about $167 billion in assets and $119 billion in deposits; about $90 billion will remain in receivership for disposal by the FDIC, the note indicates.
The US FDIC estimates that the cost of Silicon Valley Bank’s failure to its Deposit Insurance Fund (DIF) is approximately $20 billion, although the exact amount will be known when the receivership is concluded.
Source: Eitb
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