FDIC auction for SVB assets said to be underway

FDIC auction for SVB assets said to be underway

An auction for the remaining assets of failed Silicon Valley Bank is reportedly underway, with final bids due this afternoon and a result likely to come as late as Sunday, according to Bloomberg.

Bloomberg said that the US Federal Deposit Insurance Corp. (FDIC), which entered and closed SVB on Friday as it is experienced an unprecedented run on its clients’ fundsis hoping to conclude the auction before the markets open on Monday morning.

The quick sale could help the FDIC make at least some of SVB customers’ uninsured deposits available to them on Monday. So far, the US agency has said that the sums insured will be made available in full for next week to begin with.

When contacted, a spokesperson for the FDIC said they do not comment on these reports.

As a potential resolution looms in the background, others in the startup ecosystem are jumping to find liquidity options for entrepreneurs trying to make next week’s payroll. Most recently, Brex CEO Henrique Dubugras he said he was working to raise over a billion dollars in one weekend to help fund a emergency bridging line of credit.

Read more about SVB's 2023 collapse at TechCrunch