Bankrupt SVB, Who Is the New Owner?..."First Citizens and Others Considering Acquisition"

More than two companies, including First Citizens Bankshares (hereinafter First Citizens) in the United States, are reportedly considering acquiring the bankrupt Silicon Valley Bank (SVB).

On the 11th (local time), a security guard is standing at the main entrance of the Silicon Valley Bank (SVB) headquarters located in Santa Clara, California, USA.
[Photo by Yonhap News]

More than two companies, including First Citizens Bankshares (hereinafter First Citizens) in the United States, are reportedly considering acquiring the bankrupt Silicon Valley Bank (SVB).

Bloomberg News reported on the 18th (local time) that First Citizens, headquartered in Raleigh, North Carolina, is likely to participate in the auction process for SVB, and at least one other company besides First Citizens is seriously considering submitting a bid.

However, First Citizens has not made a final decision and may choose not to express an intention to acquire.

Bids must be submitted by the morning of Sunday, the 19th.

The Federal Deposit Insurance Corporation (FDIC), which is managing SVB, plans to decide whether to sell SVB as a whole or in parts depending on the receipt of acquisition proposals on that day.

Bloomberg explained that it sent requests for comments on this article to representatives of First Citizens and the FDIC outside of normal working hours but did not receive immediate responses.

Sources said that First Citizens previously participated in the FDIC’s bidding for SVB’s sale, but the deal fell through because they submitted a very low price at that time.

The company signed a contract last year to acquire CIT Group for $2 billion (2.6 trillion won).