HSBC acquires Silicon Valley Bank UK for GBP 1

HSBC Holdings (HSBC) announces that its U.K. ring-fenced subsidiary, HSBC UK Bank, is acquiring Silicon Valley Bank UK Limited for GBP 1. As at March 10,, SVB UK had loans of around GBP 5.5bB and deposits of around GBP 6.7B. For the financial year ending 31 December 2022, SVB UK recorded a profit before tax of GBP 88M. SVB UK’s tangible equity is expected to be around GBP 1.4B. Final calculation of the gain arising from the acquisition will be provided in due course, HSBC said in a statement. The assets and liabilities of the parent companies of SVB UK are excluded from the transaction. The transaction completes immediately. The acquisition will be funded from existing resources. Noel Quinn, HSBC Group CEO, said, "This acquisition makes excellent strategic sense for our business in the UK. 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.