{"id":18696,"date":"2023-03-14T06:30:54","date_gmt":"2023-03-14T06:30:54","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/hsbc-acquires-silicon-valley-bank-uk-sale-facilitated-by-government-bank-of-england-finance-bitcoin-news\/"},"modified":"2023-03-14T06:30:54","modified_gmt":"2023-03-14T06:30:54","slug":"hsbc-acquires-silicon-valley-bank-uk-sale-facilitated-by-government-bank-of-england-finance-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/hsbc-acquires-silicon-valley-bank-uk-sale-facilitated-by-government-bank-of-england-finance-bitcoin-news\/","title":{"rendered":"HSBC Acquires Silicon Valley Bank UK \u2014 Sale Facilitated by Government, Bank of England \u2013 Finance Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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The British government and the central bank, the Bank of England, have facilitated a private sale of Silicon Valley Bank UK to HSBC, according to Chancellor of the Exchequer Jeremy Hunt. He stressed that \u201cDeposits will be protected, with no taxpayer support.\u201d<\/strong><\/p>\n

British Government Announces Acquisition of Silicon Valley Bank UK by HSBC<\/h2>\n

HSBC has acquired Silicon Valley Bank UK (SVB UK), the British subsidiary of Silicon Valley Bank (SVB) that was shut down<\/a> by U.S. regulators on Friday. British Chancellor of the Exchequer Jeremy Hunt tweeted Monday:<\/p>\n

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This morning, the government and the Bank of England facilitated a private sale of Silicon Valley Bank UK to HSBC. Deposits will be protected, with no taxpayer support.<\/p>\n<\/blockquote>\n

In a filing with the London Stock Exchange Monday, HSBC stated that its U.K. subsidiary, HSBC UK Bank plc, is acquiring Silicon Valley Bank UK Ltd. for \u00a31 ($1.22). The filing details that as of March 10, \u201cSVB UK had loans of around \u00a35.5bn and deposits of around \u00a36.7bn.\u201d Moreover, for the financial year ending Dec. 22, 2022, the filing states that \u201cSVB UK recorded a profit before tax of \u00a388m,\u201d adding that the British subsidiary\u2019s \u201ctangible equity is expected to be around \u00a31.4bn.\u201d<\/p>\n

HSBC noted: \u201cThe assets and liabilities of the parent companies of SVB UK are excluded from the transaction. The transaction completes immediately. The acquisition will be funded from existing resources.\u201d<\/p>\n

Noel Quinn, HSBC Group\u2019s CEO, commented:<\/p>\n

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This acquisition makes excellent strategic sense for our business in the U.K. It strengthens our commercial banking franchise and enhances our ability to serve innovative and fast-growing firms, including in the technology and life-science sectors, in the U.K. and internationally.<\/p>\n<\/blockquote>\n

\u201cSVB UK customers can continue to bank as usual,\u201d the executive clarified, adding: \u201cWe warmly welcome SVB UK colleagues to HSBC, we are excited to start working with them.\u201d<\/p>\n

In the U.S., the Department of the Treasury, the Board of Governors of the Federal Reserve System, and the Federal Deposit Insurance Corporation (FDIC) have taken measures to protect SVB depositors. They announced Sunday: \u201cDepositors will have access to all of their money starting Monday, March 13. No losses associated with the resolution<\/a> of Silicon Valley Bank will be borne by the taxpayer.\u201d<\/p>\n

What do you think about HSBC acquiring Silicon Valley Bank UK for \u00a31? Let us know in the comments section below.<\/strong><\/em><\/p>\n

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\nKevin Helms <\/h6>\n

\nA student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com<\/a> does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<\/div>\n

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