Live news: Silicon Valley Bank owner SVB Financial files for bankruptcy protection
The parent company of Silicon Valley Bank has filed for bankruptcy protection, just one week after that unit was shuttered by federal regulators in the second-biggest bank failure in US history.
SVB Financial Group filed for Chapter 11 bankruptcy protection in federal court in New York on Friday. The company’s investment banking and lending units – SVB Securities and SVB Capital – were not included in the filing.
Silicon Valley Bank, its deposit taking unit, has already been separated and is now being overseen by the Federal Deposit Insurance Corporation.
SVB Financial said it “intends to use the court-supervised process to evaluate strategic alternatives for SVB Capital, SVB Securities and the Company’s other assets and investments.”
The company said it had $2.2bn of liquidity as well as $3.3bn in bond debt and $3.7bn of preferred equity outstanding.