Financial regulators announced the closure of the American bank SVB and took over the deposits, in what appears to be the second largest bank collapse in the US in more than a decade. The bank’s headquarters is in Santa Carla, California, and it is considered one of the most important lenders to start-up companies in the US.
The FDIC, the Federal Deposit Insurance Corporation in the US, announced that insured depositors will receive access to their deposits no later than Monday morning. The bank’s total assets amounted to approximately $209 billion as of the end of December last year, and deposits approximately $175.4 billion It was also reported that the scope of deposits that exceed the insurance limits has not yet been determined.
In the meantime, following the collapse of the bank that was established 40 years ago to serve the many high-tech companies that settled in Silicon Valley, the US stock market recorded sharp declines, so the Dow Jones 30 index fell by 1.07%, and the S&P 500 index fell by 1.452% and Nasdaq Composite lost 1.76%.