An auction is reportedly underway to find a buyer for Silicon Valley Bank


March 10, 2023 in Santa Clara, California, a sign stands in front of the headquarters of the Silicon Valley Bank (SVB).

Justin Sullivan | Getty Images

Federal regulators are holding an auction for Silicon Valley Bank, with final bids set for Sunday, according to a Bloomberg News report.

The bank was closed by regulators on Friday after a bank run had been triggered by massive withdrawals the day before. The Federal Deposit Insurance Corporation took control of the bank on Friday and began an auction process Saturday night, according to the report.

A deal may still not be reached, the report said.

The collapse of SVB, a major player in the technology start-up world, is the largest US bank failure since Washington Mutual in 2008. That bank was subsequently purchased by JPMorgan Chase in a deal that restored uninsured deposits.

A full or partial takeover by another bank is one of the options that regulators are exploring this weekend. Many investors on Wall Street and Silicon Valley are expecting an announcement sometime on Sunday outlining the next steps in the SVB crisis.

Read the full Bloomberg News report here.

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