News out of the UK - HSBC buys the UK arm of svb for $1 Update: HSBC's UK Unit to Acquire Silicon Valley Bank UK; Shares Drop Premarket
06:21 AM EDT, 03/13/2023 (MT Newswires) -- (Updates with the stock move in the headline and last paragraph.)
HSBC Holdings (HSBC) said Monday its HSBC UK Bank subsidiary is acquiring the UK arm of embattled SVB Financial Group's (SIVB) Silicon Valley Bank for just a pound ($1.21).
The acquisition bolsters HSBC's commercial banking franchise in the UK, HSBC Group Chief Executive Noel Quinn said, adding that Silicon Valley Bank UK customers can continue to bank as usual.
The company said it will provide an update on the transaction when it releases its Q1 results on May 2.
Shares of the British lender dropped 2.6% in US premarket activity Monday. In London, its shares were down nearly 4%.
Price: 34.41, Change: -0.9, Percent Change: -2.55