The FDIC is looking to sell off Silicon Valley Bank (SVB) and Signature in their entirety, sources told Reuters. However, if that fails, the corporation may consider selling in installments. The authorities also want to give traditional lenders an edge over private equity firms. Applications will be accepted until March 17th.
The FDIC is working hard to bring lenders back to the private sector after regulators took control of SVB and Signature. This will be the FDIC’s second attempt to sell SVB after Sunday’s failure. Sources said the FDIC has since hired investment bank Piper Sandler Companies to run the new auction.
Among the banks that considered but declined the offer at the SVB auction last weekend were PNC Financial Services and Royal Bank of Canada. The latter owns City National Bank, a California-focused credit bank.
March 2023 has been a challenging month for banks operating in the crypto industry. Silvergate, Signature and Silicon Valley announced the termination of operations.
Source: Bits
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