SVB Financial, parent of Silicon Valley Bank, is in talks to sell itself, sources told CNBC’s David Faber.
Attempts by the bank to raise capital have failed, the sources said, and the bank has hired advisors to explore a potential sale.
Large financial institutions are taking a look at a potential purchase of SVB. However, deposits outflows are so far outpacing the sale process, making it very difficult for a realistic assessment of the bank by potential buyers to take place, the sources told Faber.
Shares of the bank fell 60% on Thursday after SVB announced a plan Wednesday evening to raise more than $2 billion in capital. The stock fell another 60% in premarket trading Friday before being halted for pending news. The shares did not open for trading with the rest of the market at 9:30 a.m. and were still halted.
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