Silicon Valley Bank's parent company SVB Financial Group filed for Chapter 11 bankruptcy protection on Friday in New York.
Silicon Valley Bank was shut down by California financial regulators on
March 10 and was taken over by the Federal Deposit Insurance Corp.
Silicon Valley Bank is not part of the Chapter 11 filing.
- The bankruptcy allows SVB Financial Group to find buyers for its other businesses not under federal control.
- SVB's other businesses include SVB Capital, its investment management firm, and SVB Securities, its investment bank.
- The
newly appointed CEO of SVB Financial Group, William Kosturos, said the
company is working on returning the maximum recoverable value for
stakeholders of the company.
- In its Chapter 11 filing, SVB named Vanguard, BlackRock, and State Street as holding more than 5% of its voting securities.
- The company also carries $3B in bond debt and nearly $4B in preferred stock.
