FDIC Requests Bids for Acquisition of Failed Silicon Valley Bank and Signature Bank

According to sources familiar with the matter, the U.S. Federal Deposit Insurance Corp (FDIC) has requested that banks interested in acquiring Silicon Valley Bank and Signature Bank, which have both failed, submit their bids by March 17. These auctions demonstrate the FDIC’s determined efforts to relinquish control of the banks and return them to the private sector. Last Friday, regulators took over Silicon Valley Bank (SVB) followed by Signature Bank (SBNY.O) on Sunday, causing significant disruption across the global financial system. The FDIC’s objective is to sell both banks in their entirety, although partial offers may be considered if complete purchases cannot be made. Furthermore, any potential buyer of Signature Bank is required to relinquish all crypto-related operations currently carried out by the bank as a condition of purchase.