HSBC Bank has bought the UK branch of the defunct US Silicon Valley Bank (SVB) for just £1 (US$1.2). Which costs just 127 taka in Bangladeshi currency (at the current rate of the pound). The deal was done under the auspices of the Bank of England and the Treasury. After the announcement of the closure of the Silicon Valley bank, panic spread among customers in the UK technology and life sciences sector.
This information was given by HSBC after announcing the closure of Silicon Valley last week. It was said now HSBC welcomes Silicon Valley Bank’s UK branch customers to HSBC. They will look forward to help the customers. Meanwhile, the country’s Finance Minister Jeremy Hunt said that all bank customers’ deposits are safe and there is no cash government money involved. “I am pleased that we have been able to reach a conclusion in such a short period of time,” Hunt said.
To be noted that the largest commercial bank in Europe is HSBC. According to them, Silicon Valley Bank UK Limited has about £5.5 billion in debt as of March 10. In comparison, total deposits are around £6.7 billion. According to HSBC calculations, SVP UK’s total marketable equity is expected to be close to £1.4 billion.