Silicon valley bank, Commercial banking company

San Francisco, March 10 Shares in Silicon Valley Bank (SVB), a key lender to technology startups, plummeted as investors moved to withdraw their deposits, BBC reported.The slide came after the bank announced a $1.75bn share sale to help shore up its finances.Shares in banks have fallen around the world - with the four largest US banks, including JP Morgan and Wells Fargo, losing more than $50bn in market value, BBC reported.One venture capitalist said the day's events were "wild" and "brutal", BBC reportedOn Friday, shares in Asian banks were also trading lower.Shares in SVB saw their biggest one-day drop on record as they plunged by more than 60 per cent and lost another 20 per cent in after-hours trade, BBC reported.The firm launched the share sale after losing around $1.8bn when it offloaded a portfolio of assets, mainly US Treasuries.But more concerningly for the bank, some startups who have money deposited have been advised to withdraw funds.Hannah Chelkowski, founder of Blank Ventures, a fund that invests in financial technology, told the BBC the situation was "wild". She is advising companies in her portfolio to withdraw funds."It's crazy how it's just unravelled like this... The interesting thing is that it's the most startup friendly bank and supported startups so much through Covid. Now VCs are telling their portfolio companies to pull their funds," she said."It's brutal," she added.A crucial lender for early-stage businesses, SVB is the banking partner for nearly half of US venture-backed technology and healthcare companies that listed on stock markets last year, BBC reported.In the wider market, there were concerns about the value of bonds held by banks as rising interest rates made those bonds less valuable.Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

Home

City

Latest News

Cricket

LT Premium

National

International

Maharashtra

Opinions

Chhatrapati Sambhajinagar

Nagpur

Entertainment

Photos

Business

Technology

Sports

Lifestyle

Social Viral

Lokmat Games

Health

Ahmedabad Plane Crash

Pune Bridge Collapse

Maharashtra News

Mumbai Local

Weather Update

Mumbai Rains

Silicon Valley BankFOLLOW

Silicon valley bank, Latest News

International :Troubles at one US bank trigger fears of a wider problem for financial sector

San Francisco, March 10 Shares in banks around the world have slid after troubles at one US bank ... ...

International :SVB slump roils global financial stocks

San Francisco, March 10 Shares in Silicon Valley Bank (SVB), a key lender to technology startups, plummeted as ... ...