Finance
SVB Financial Strikes Deal With Creditors, Eyes Asset Shuffle
- VC unit previously for sale could be part of reorganized firm
- About $2 billion seized by FDIC remains biggest open question
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SVB Financial Group, the former parent company of Silicon Valley Bank, has struck a deal with key creditors in a step toward resolving its bankruptcy case.
SVB Financial and a crucial bloc of senior bondholders agreed to a deal centered on forming a new company that would hold valuable assets like the firm’s venture capital arm — SVB Capital — and tax attributes potentially worth billions of dollars, according to court papers. The proposal is tentative and still needs court approval.