HSBC snags a bargain

HSBC buys Silicon Valley Bank UK

The bank used by tech companies and start ups has a balance sheet worth £8.8bn yet was bought by Europe's largest bank for £1.

HSBC has bought the embattled UK arm of Silicon Valley Bank (SVBUK), securing the deposits of more than 3,000 customers worth £6.7bn.

Confirming a story broken on Monday by Sky's City editor Mark Kleinman, the Bank of England, which had been preparing to bring the bank into an insolvency process, said all depositors' money with SVBUK was safe and secure as a result of the purchase.

All SVBUK services will continue to operate as normal and customers should not notice any changes, the statement said.

HSBC said it bought SVBUK - which has a balance sheet of £8.8bn - for £1.

"This acquisition makes excellent strategic sense for our business in the UK," HSBC said.

"It strengthens our commercial banking franchise and enhances our ability to serve innovative and fast-growing firms, including in the technology and life-science sectors, in the UK and internationally," Noel Quinn, HSBC group chief executive said.

A statement from the Treasury highlighted that no taxpayer money is involved in the sale.

Chancellor Jeremy Hunt said: "Making use of post-crisis banking reforms, which introduced powers to safely manage the failure of banks, this sale has protected both the customers of SVB UK and taxpayers."

"The UK's tech sector is genuinely world-leading and of huge importance to the British economy, supporting hundreds of thousands of jobs. I said yesterday that we would look after our tech sector, and we have worked urgently to deliver on that promise and find a solution that will provide SVB UK's customers with confidence," Mr Hunt said.

"HSBC is Europe's largest bank, and SVB UK customers should feel reassured by the strength, safety and security that brings them."

HSBC buys Silicon Valley Bank UK | Business News | Sky News

HSBC


my erstwhile employer got a bargain

HSBC he choice of Coke fiends globally

It's forerunner UK retail Midland Bank was allegedly the biggest too at one time

It's access card (early Mastercard ) slogan was

"Takes the Waiting out of wanting"

Of course later they will discover if their "creative accounting" and money laundering skils/shills will make them agile bankers to innovative Bio Tech or they may just asset strip , cherry pick the winners and dump the rest which requires less effort, rather like robbing a corpse.

Rishi did succeed and getting taxpayer off the hook, USA a larger turd, funny how all these capitalists firms want to keep the bonuses but socialize any losses.

In a rational society Dodd Franks and Glass Steigel would be updated to compartmentalize casino speculation from the real economy.

Thanks for the Heads up Harry

Evidence emerged that HSBC had allowed billions of dollars in illicit funds to be moved through its accounts, including funds from drug cartels and terrorist organizations. The bank was also accused of violating U.S. sanctions against countries such as Iran and Sudan.Jan 6, 2566 BE


The HSBC Money Laundering Scandal: An Overview