Bankruptcy Silicon Valley Bank is acquired by First Citizens BankShares, a major American regional bank



Silicon Valley Bank, based in Santa Clara, California, USA, which announced

bankruptcy on March 10, 2023, was acquired by First Citizens BankShares, a major regional bank in the United States, for $16.5 billion (approximately 2.15 trillion). announced that it will acquire

First Citizens Bank Enters into Whole Bank Purchase of Silicon Valley Bridge Bank, NA - Mar 27, 2023
https://newsroom.firstcitizens.com/2023-03-27-First-Citizens-Bank-Enters-into-Whole-Bank-Purchase-of-Silicon-Valley-Bridge-Bank,-NA



First–Citizens Bank & Trust Company, Raleigh, NC, to Assume All Deposits and Loans of Silicon Valley Bridge Bank, NA, From the FDIC
https://www.fdic.gov/news/press-releases/2023/pr23023.html

First Citizens is acquiring $72B in deposits and loans from Silicon Valley Bridge Bank | TechCrunch
https://techcrunch.com/2023/03/26/first-citizens-to-acquire-silicon-valley-bank/

First Citizens (FCNCA) Buys Silicon Valley Bank After Run on Lender - Bloomberg
https://www.bloomberg.com/news/articles/2023-03-27/first-citizens-to-buy-silicon-valley-bank-after-run-on-lender

Silicon Valley Bank, based in Santa Clara, California, USA, was a bank that had many technology companies as customers and actively invested in startups. However, with the announcement of financial results in March 2023, the stock price of Silicon Valley Bank plummeted and a bank run occurred. The bank announced bankruptcy on March 10, 2023, and it was revealed that it would be under the control of the Federal Deposit Insurance Corporation (FDIC).

What kind of bank is 'Silicon Valley Bank' and why did it fail? -GIGAZINE



With the bankruptcy of Silicon Valley Bank, startups around the world with which we had been doing business faced serious crises such as non-payment of salaries, which threatened the extinction of startups.

More than 100,000 people face a crisis of non-payment of salaries due to the collapse of Silicon Valley Bank, and the extinction of startups is also feared - GIGAZINE



Meanwhile, on March 27, 2023, the FDIC announced that First Citizens BankShares had entered into an agreement to acquire the former Silicon Valley Bank and take over all deposits and loans.




According to the FDIC, First Citizens BankShares has purchased approximately $72 billion in assets from Silicon Valley Bank at a discounted price of $16.5 billion. In addition, about $ 90 billion (about 11.76 trillion yen) of securities and other assets will continue to be under the control of the FDIC for disposal.

First Citizens BankShares is a major regional bank founded in Raleigh, North Carolina in 1898 and has assets of more than $ 167 billion (about 21.83 trillion yen) throughout the United States.

Frank Holding, CEO of First Citizens BankShares, said, 'First Citizens BankShares has been selected by the FDIC to take over important relationships with Silicon Valley banks' depositors and customers, and to strengthen the banking system and America's economy. I am proud to say that. “This acquisition will allow us to build on our long-established strong foundation, adding scale and geographic diversity, compelling digital capabilities, and meaningful solutions to our customers. I will.”




First Citizens BankShares added, 'The combined company with Silicon Valley Bank will be more resilient and resilient than ever with a diversified loan portfolio and deposit base, while supporting Silicon Valley Bank's depositors and borrowers. We are staying safe,” he said.

According to First Citizens BankShares, 17 branches of Silicon Valley Bank will resume operations from March 27, 2023 in the form of `` First Citizens BankShares Silicon Valley Bank Division ''. Customers of Silicon Valley Bank will be able to access their accounts through their legacy website, mobile app, and branch offices until a decision is made to upgrade the system. In the future, you can continue to use Silicon Valley Bank checks and cash cards, and you will need to continue making loan payments as before.

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