Global clearing institution Bank of London has submitted a formal proposal to acquire the UK subsidiary of Silicon Valley Bank, according to a statement provided by Reuters on March 12.
According to the statement, the purchase was an effort by a consortium of private equity firms:
“A consortium of leading private equity firms, led by The Bank of London, confirms that it has submitted a formal proposal to Her Majesty’s Treasury, the Prudential Regulation Authority in the Bank of England and the Silicon Valley Bank UK Board.”
Reuters previously reported that other British financial institutions were reviewing similar moves, including SoftBank-owned lender OakNorth Bank. Abu Dhabi Investment vehicle ADQ were also interested in SVB’s arm.
A plan to rescue startups and technology companies affected by the collapse of SVB has been drawn up by the British authorities. Emergency plans will include a cash lifeline for some businesses.
Prime Minister Rishi Sunak said the government was working “quickly” to deliver a plan within hours that would secure “operational liquidity and cash flow needs” for Silicon Valley Bank’s UK clients.
This is a developing story, and further information will be added as it becomes available.