HSBC acquires Silicon Valley Bank's UK unit for £1

[{"selector":"#anim-59c13f78-eaf2-4060-8e3f-382adf13d178","keyframes":{"opacity":[0,1]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-a5d7667e-debd-4639-b8b2-52a5bc00beaf","keyframes":{"transform":["translate3d(-122.37762%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] HSBC Holdings Plc on March 13 announced that its UK ring-fenced subsidiary,

[{"selector":"#anim-9d97b61c-8586-4e98-845f-8e2ca6f90cbc","keyframes":{"opacity":[0,1]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-8270cdbd-0442-4b0b-84ac-1012b4b8731a","keyframes":{"transform":["translate3d(-122.37762%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] HSBC UK Bank plc, is acquiring Silicon Valley Bank UK Limited (SVB UK) for £1. SVB UK had loans of around £5.5 billion and deposits of around £6.7 billion as on March 10, 2023.

[{"selector":"#anim-5e0f5d34-7690-4974-b344-dbfd632b3959","keyframes":{"opacity":[0,1]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-0b2aaf45-10e9-4a09-9e5d-871b71566461","keyframes":{"transform":["translate3d(-122.37762%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] For the financial year ending December 31, 2022, SVB UK recorded a profit before tax of £88 million. SVB UK's tangible equity is expected to be around £1.4 billion.

[{"selector":"#anim-05b9278e-ebdc-4f69-a9bb-15a2c772f3b9","keyframes":{"opacity":[0,1]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-1adc6aa6-b619-42f9-aaa9-6a5c67f4f4d7","keyframes":{"transform":["translate3d(-122.37762%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] The final calculation of the gain arising from the acquisition will be provided in due course.

[{"selector":"#anim-274c1c0b-7ba4-481e-9057-de6e3b35dc9f","keyframes":{"opacity":[0,1]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-133623ee-a1df-4846-b2ac-eb45461d796e","keyframes":{"transform":["translate3d(-122.37762%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] The assets and liabilities of the parent companies of SVB UK are excluded from the transaction. The transaction completes immediately.

[{"selector":"#anim-7555f337-4bee-4b05-aa2f-90aae38a2275","keyframes":{"opacity":[0,1]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-f7b1b9c2-3ca3-4d29-b421-116607c2118b","keyframes":{"transform":["translate3d(-122.37762%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] The acquisition will be funded from existing resources, HSBC said in a statement.

[{"selector":"#anim-8f5cb829-737f-4669-9351-6298d1a92f76","keyframes":{"opacity":[0,1]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-206dc769-b773-40df-be70-108274f4ddf1","keyframes":{"transform":["translate3d(-122.37762%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Noel Quinn, HSBC Group CEO, said, “This acquisition makes excellent strategic sense for our business in the UK.

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[{"selector":"#anim-1ff22637-5c5f-49c2-9186-52f2b9c8ec79","keyframes":{"opacity":[0,1]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-2f36f052-3ab4-4ef5-92cf-6e053a79dec7","keyframes":{"transform":["translate3d(-122.37762%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] in the UK and internationally. We welcome SVB UK's customers to HSBC and look forward to helping them grow in the UK and around the world

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[{"selector":"#anim-1c36f35d-e1a9-4c9b-8751-6159ecd541bd","keyframes":{"opacity":[0,1]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-96e5b129-5d48-4ef0-b132-08078eefc705","keyframes":{"transform":["translate3d(-122.37762%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":450,"duration":2000,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] safety and security of HSBC. We warmly welcome SVB UK colleagues to HSBC, we are excited to start working with them.”