HSBC Takes Ove Silicon Valley Bank’s British Arm

HSBC has announced it has acquired Silicon Valley Bank UK (SVB UK), the British “daughter” of a financial institution sanctioned by US authorities, for £1 ($1.21).

The assets and liabilities of the US bank’s parent company are not included in the purchase. As of March 10, SVB UK’s loan portfolio was valued at £5.5bn (~$6.7bn) with funds placed on deposit at £6.7bn (~$8.1bn).

At the end of 2022, the bank reported pre-tax profits of £88 million (~$107 million) and a capital stock of £1.4bn (~$1.7bn).

HSBC has stated that the purchase will expand its ability to serve innovative firms and that “SVB UK clients can rest assured that their deposits are backed by the safety of HSBC.”