Monday, March 27, 2023, 6:49 am

Silicon Valley Bank has been acquired by First-Citizens Bank, according to the FDIC

SAN FRANCISCO – Silicon Valley Bank was acquired.

The FDIC made it official just an hour ago. First Citizens Bank of North Carolina became the new owner.

All 17 Silicon Valley Bank branches will reopen as First Citizens branches, according to the feds.

The sale involves the sale of all SVB First-Citizens deposits and loans, the FDIC said in a statement late Sunday.

SVB was once a major lender to many Silicon Valley tech companies before it ran into trouble.

The regulator says the purchase price was $72 billion, with a $16.5 billion discount.

Silicon Valley Bank customers should continue using their current branch until notified by First-Citizens Bank, the FDIC said in a news release & Trust Company that the systems conversion has been completed to enable full banking services in all its other branches.

The collapse of the Silicon Valley bank shook the banking industry and prompted the FDIC and other regulators to take action to protect depositors to prevent broader financial turmoil.

The Santa Clara, Calif.-based bank collapsed on March 10 after depositors rushed to withdraw money amid concerns about the bank’s health. It was the second largest bank failure in US history.

The Associated Press contributed to this story.

Stay tuned to ABC7 for the latest details on this developing story.

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