The parent company of Silicon Valley Bank filed for bankruptcy protection after regulators seized the company's banking unit as concern spread among its long-standing clientele of tech startups.&nbsp;

In a Chapter 11 petition filed&nbsp;in New York, SVB Financial Group listed assets and liabilities totalling up to $10 billion each, as per a Bloomberg report.&nbsp;

Silicon Valley Bank was placed in Federal Deposit Insurance Corp. receivership because it is a commercial bank with a charter from the State of California and is a member of the Federal Reserve system rather than filing for bankruptcy. Yet, its parent company is allowed to file for bankruptcy preotection in order to safeguard its remaining assets and begin working to pay back creditors, including bondholders.&nbsp;

The venture capital arm of SVB Capital and the broker-dealer SVB Securities are not mentioned in the filing, a statement claims.

SVB, based in Santa Clara, California, had nearly $209 billion in assets as of the end of last year, making it the largest bank to collapse in more than 10&nbsp;years, according to the FDIC. Aside from Washington Mutual Inc., which collapsed in 2008, it is also the second-largest bank to be placed under receivership by the FDIC, reported Moneycontrol.&nbsp;

ALSO WATCH |&nbsp;India startups have deposits worth $1 bn in SVB | Tech It Out

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/india-startups-have-deposits-worth-1-bn-in-svb-tech-it-out-573206/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

Tech industry's concerns increased in March after Peter Thiel's Founders Fund and other prominent venture capital firms recommended their portfolio companies to withdraw cash from the bank. After suffering a substantial loss on its portfolio, the bank's parent firm stated the following day that it would attempt to raise more than $2 billion.&nbsp;

As per a&nbsp;statement from the bank's 20th anniversary, Bill Biggerstaff and Robert Medearis' poker game resulted in the founding of Silicon Valley Bank in 1983. The company has concentrated on providing financial services to tech startups ever since it was founded.&nbsp;

ALSO READ |&nbsp;<a href="https://www.wionews.com/business-economy/explained-silicon-valley-bank-crisis-did-us-central-bank-miss-headwinds-572334">Explained | Silicon Valley Bank crisis: Did US central bank miss headwinds?</a>

The parent firm had $475 million in other assets, $2.3 billion in cash, and $500 million in investment securities as of December 31. Its long-term debt at the time was around $3.4 billion.&nbsp;

(With inputs from agencies) 
 
&nbsp;

WATCH WION LIVE HERE:

<iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed" style="width:100%;max-width:560px;" width="560"></iframe>

The parent company of Silicon Valley Bank filed for bankruptcy protection after regulators seized the company's banking unit as concern spread among its long-standing clientele of tech startups.

The parent company of Silicon Valley Bank filed for bankruptcy protection after regulators seized the company's banking unit as concern spread among its long-standing clientele of tech startups. In a Chapter 11 petition filed in New York, SVB Financial Group listed assets and liabilities totalling up to $10 billion each, as per a Bloomberg report. Silicon Valley Bank was placed in Federal Deposit Insurance Corp. receivership because it is a commercial bank with a charter from the State of California and is a member of the Federal Reserve system rather than filing for bankruptcy. Yet, its parent company is allowed to file for bankruptcy preotection in order to safeguard its remaining assets and begin working to pay back creditors, including bondholders. The venture capital arm of SVB Capital and the broker-dealer SVB Securities are not mentioned in the filing, a statement claims. SVB, based in Santa Clara, California, had nearly $209 billion in assets as of the end of last year, making it the largest bank to collapse in more than 10 years, according to the FDIC. Aside from Washington Mutual Inc., which collapsed in 2008, it is also the second-largest bank to be placed under receivership by the FDIC, reported Moneycontrol. ALSO WATCH | India startups have deposits worth $1 bn in SVB | Tech It Out Tech industry's concerns increased in March after Peter Thiel's Founders Fund and other prominent venture capital firms recommended their portfolio companies to withdraw cash from the bank. After suffering a substantial loss on its portfolio, the bank's parent firm stated the following day that it would attempt to raise more than $2 billion. As per a statement from the bank's 20th anniversary, Bill Biggerstaff and Robert Medearis' poker game resulted in the founding of Silicon Valley Bank in 1983. The company has concentrated on providing financial services to tech startups ever since it was founded. ALSO READ | Explained | Silicon Valley Bank crisis: Did US central bank miss headwinds? The parent firm had $475 million in other assets, $2.3 billion in cash, and $500 million in investment securities as of December 31. Its long-term debt at the time was around $3.4 billion. (With inputs from agencies) WATCH WION LIVE HERE:

SVB Financial, parent firm of Silicon Valley Bank, files for bankruptcy protection

svb-updates

Svb Updates, News on Svb Updates, stories on Svb Updates, articles on Svb Updates, Svb Updates stories at Wion, Svb Updates news, Svb Updates latest news

svb updates

SVB Financial, parent firm of Silicon Valley Bank, files for bankruptcy protection