HSBC buys UK arm of collapsed Silicon Valley Bank for just over $1

ISTANBUL

The-UK based private lender HSBC announced on Monday that it acquired Silicon Valley Bank UK for £1 ($1.2).

Loans of the UK subsidiary of the collapsed Silicon Valley Bank amounted to £5.5 billion and deposits totaled £7.6 billion as of March 10, the British banking giant said.

Last year, Silicon Valley Bank UK’s profit was at £88 million before taxation.

The move came after the US regulators on Friday shut down the California-based Silicon Valley Bank, marking a shocking collapse.

Noel Quinn, the CEO of HSBC, said the acquisition was an “excellent strategic” move for HSBC’s operations in the UK.

The US-based commercial bank was the largest bank in Silicon Valley based on local deposits and it was 16th-biggest bank in the country.

Its total assets were at around $209 billion while its deposits amounted to nearly $175.4 billion as of the end of 2022. The bank sold this week its $21 billion bond portfolio at a $1.8 billion loss.

• HSBC
• SVB
• UK