FDIC auction for failed SVB underway, final bids due Sunday

Synopsis The Federal Deposit Insurance Corp. kicked off an auction process late Saturday for Silicon Valley Bank, with final bids due by Sunday afternoon, according to people familiar with the matter. Reuters SVB (Silicon Valley Bank) logo is seen in this illustration taken March 10, 2023.

REUTERS/Dado Ruvic/Illustration The Federal Deposit Insurance Corp. kicked off an auction process late Saturday for Silicon Valley Bank , with final bids due by Sunday afternoon, according to people familiar with the matter. The FDIC is aiming for a swift deal but a winner may not be known until late Sunday, according to one person, who asked to not be identified because the matter isn’t public.

No final decision has been made and it’s possible that no deal will be reached, said the people. Representatives for the FDIC didn’t immediately respond to requests for comment outside regular business hours. Silicon Valley Bank collapsed into FDIC receivership on Friday, after its long-established customer base of tech startups grew concerned and yanked deposits.

At the end of last year, SVB had more than $175 billion in deposits — the vast majority of which are uninsured — and $209 billion in total assets. The FDIC is now racing to sell assets and make a portion of clients’ uninsured deposits available as soon as Monday, people with knowledge of the situation have said. The agency has said it will make 100% of protected deposits available on Monday, when Silicon Valley Bank branches reopen.

Don’t miss out on ET Prime stories! Get your daily dose of business updates on WhatsApp. click here! Sunday, 12 Mar, 2023 Experience Your Economic Times Newspaper, The Digital Way! Read Complete Print Edition » Front Page Pure Politics Bottom Line Deep Dive More Investors, Fintech Cos Help Out Cash-crunched Startups Top venture investors as well as larger fintech firms such as Razorpay are among those stepping up to provide emergency services to small and mid-stage startups roiled by the abrupt closure of industry lender Silicon Valley Bank in the US on Friday. India, Oz likely to Wrap Up $100-B Trade Pact by Dec India and Australia pledged to conclude a comprehensive trade deal by the end of 2023, eyeing $100 billion in bilateral commerce that will seek to deepen engagement in areas such as critical minerals.

Direct Tax Mopup Surges 22. 6% India has collected ₹16. 68 lakh crore in gross direct tax till March 10 in the ongoing fiscal year, a rise of 22.

6% over the year-ago period, shows data released on Saturday. Net of refunds, the collection was ₹13. 73 lakh crore, 16.

8% higher. Read More News on fdic silicon valley bank svb SVB collapes SVB bank SVB auction Stay on top of technology and startup news that matters. Subscribe to our daily newsletter for the latest and must-read tech news, delivered straight to your inbox.

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