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Sale of Silicon Valley Bank’s old venture capital arm hits a snag

Creditors including Pimco and Davidson Kempner may wind up taking over SVB’s roughly $10bn venture capital business, sources say

Silicon Valley Bank’s parent company filed for bankruptcy in March after federal regulators took over the bank
Silicon Valley Bank’s parent company filed for bankruptcy in March after federal regulators took over the bank Photo: John Brecher/Getty Images

A process to sell the venture capital arm of bankrupt SVB Financial, the former parent of Silicon Valley Bank, has fallen flat and creditors are now gearing up for a potential takeover of the business.

Two front-runners had been vying for SVB Capital: a duo of Anthony Scaramucci’s SkyBridge Capital and Atlas Merchant Capital, and San Francisco private equity firm Vector Capital, The Wall Street Journal reported in September.

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