Silicon Valley Bank Financial Group, the parent company of the ill-fated Silicon Valley Bank (SVB), filed for bankruptcy in a New York court on Fridayto try a capital restructuring, under judicial supervision, of the businesses that have been seized by the authorities, reported The Wall Street Journal.
US authorities intervened last Thursday SVBbut not its parent company, although the price of its shares has been paralyzed since March 9.
The move by government and regulators came after SVB, which specializes in technology start-ups, suffered a massive run on deposits after being forced to sell assets to cover liquidity needs.
The Government has guaranteed all the deposits of this institution and la has reopened under new management and under the name of Silicon Valley Bridge Bank, with the intention that you can recover your activities.
SVB’s intervention unleashed a financial earthquake whose shocks reached Europe, where they put the Swiss bank Credit Suisse in trouble.
After the SVB debacle, the authorities intervened the Signature regional bank, and on Thursday lhe main banking corporations in the country came to the rescue of First Republic Bankwhich is among the 15 largest banks in the country and is one of those that is suffering the most from the consequences of this crisis, with an injection of 30,000 million dollars.
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