SVB Financial Group Files for Chapter 11 Bankruptcy

Mar 17, 2023

온라인 슬롯 사이트

A week after the authorities closed Silicon Valley Bank its parent company, SVB Financial Group, had no other choice but to file for bankruptcy protection.

SVB Financial Group

SVB Financial Group, the parent company of Silicon Valley Bank, has bankruptcy in the United States Bankruptcy Court for the Southern District of New York. This filing will allow SVB Financial Group to seek buyers for its assets. These include SVB Securities and SVB Capital’s funds, and general partner entities, which are not included in the process.

Silicon Valley Bank

The bankruptcy process will also preserve most of the Silicon Valley Bank’s value while it evaluates other strategic options. The filing of additional bankruptcy court proceeding documents will take place in the following days.
The Chief Restructuring Officer of SVB Financial Group, William Kosturos, stated that the filing will help the bank preserve value and evaluate strategic alternatives for its prized businesses and assets.

The Future Of Other Assets

SVB Capital and SVB Securities continue to operate and serve clients, led by their longstanding and independent leadership teams. Despite trading being halted and regulators closing the bank, significant interest has been expressed for SVB Securities and SVB Capital. These two legal entities are being shopped around separately to potential buyers.

The SVB Financial Group is hoping to resume operations outside of the FDIC’s control while it works through its next steps. The holding company said that it plans to file customary first-day motions with the Bankruptcy Court, which will seek authorization to continue its operations in the ordinary course of business as soon as a hearing can be scheduled.

In The Meantime in Hawaii

While the company is desperately trying to stay afloat, the former CEO of Silicon Valley Bank, Greg Becker, is enjoying himself in Hawaii. Becker retreated to his private house on the island days after the collapse of the bank.
Even though he appeared to be relaxed whenever he was spotted, Becker has a lot to worry about. Besides being harshly criticized by the public he is also investigated by the Department of Justice (DOJ). The DOJ is looking into Becker for selling 12,500 shares for about $3.5 million only two weeks before the fall of the bank. Shareholders also claim that he knowingly hid information about the liquidity of the bank.

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