First Citizens BancShares Inc considering offer for ailing Silicon Valley Bank, sources

First Citizens BancShares

19th March 2023 – (Hong Kong) First Citizens BancShares Inc is reportedly assessing an offer for the ailing Silicon Valley Bank (SVB), according to sources familiar with the matter cited by Bloomberg News on 18th March. The collapsed lender has garnered serious consideration from at least one other potential buyer, the report added.

As of outside business hours, neither SVB nor First Citizens has responded to Reuters’ request for comment.

Earlier this week, Reuters reported that the Federal Deposit Insurance Corp (FDIC) had requested bids from interested banks for the acquisition of both Silicon Valley Bank and Signature Bank by 17th March. The move came in the wake of the FDIC’s takeover of both mid-sized lenders, which caused a ripple effect across the global financial market amid concerns of a contagion.

This marks the FDIC’s second attempt to sell SVB following a previous unsuccessful effort a week ago. Sources disclosed that Piper Sandler Cos, the investment bank, had been retained to oversee the new auction, according to Reuters.