Wikimedia Commons/Tony Webster
SVB boasts on its website that around half of all US venture capital-backed tech and life sciences companies are its clients, including Pinterest and Shopify.The parent company of the commercial bank, SVB Financial Group, announced Wednesday that it would try to raise $2.5-billion in fresh funds through a share offering, after having sold off $21-billion in securities at a loss of $1.8-billion.
SVB's focus on the tech industry made it vulnerable to the deteriorating conditions for the sector: the sharp increase in interest rates and a weakening risk appetite among investors plus continued supply chain problems. The interdependence of banks was driven home by the 2008 collapse of Lehman Brothers, which is widely considered the trigger for the global financial crisis.
Finance Finance Latest News, Finance Finance Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Asian stocks slide on US bank concernsSilicon Valley Bank loses about 70% of its value unleashing fears of broader banking-system stress
Source: BDliveSA - 🏆 12. / 63 Read more »