United Kingdom’s Bank of England was quick to follow suit with the California regulators and ordered Silicon Valley Bank’s UK subsidiary into insolvency from the night of March 12. A Times newspaper report estimates over 3,000 businesses have around $7 billion in deposits in SVB’s UK subsidiary. The collapse of the bank has entangled the fate of science and tech startups in the UK.
UK’s Chancellor Jeremy Hunt has stated that the Government is taking measures to prevent the collapse from impacting businesses and it could involve emergency takeover deals by private entities. While several potential buyers are circling for an investment opportunity, Sky News has reported that banking majors HSBC and JP Morgan are bidding for the insolvent subsidiary. Both the Banks have not released any comments confirming their intent to acquire the fallen bank.
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