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Silicon Valley Bank (SVB)
BusinessChina Business

Silicon Valley Bank’s China joint venture says operations stable and independent amid US parent’s collapse

  • The joint venture, SPD Silicon Valley Bank Co, was founded in 2012 by Shanghai Pudong Development Bank and the US lender
  • Shanghai Pudong said the Chinese venture is not affected by the turmoil surrounding the American firm’s collapse

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A pedestrian speaks on a smartphone as he walks past Silicon Valley Bank’s headquarters in Santa Clara, California, on March 10, 2023. Photo: Agence France-Presse
Bloomberg
The China joint venture of Silicon Valley Bank (SVB) said its operations have been independent and stable, seeking to calm local clients amid its US parent’s collapse.

“SPD Silicon Valley Bank Co has always operated in a stable manner in accordance with Chinese laws and regulations, with a standard governance framework and independent balance sheet,” the joint venture between Shanghai Pudong Development Bank and SVB said on its WeChat account on Saturday.

Founded in August 2012 as the first tech-focused bank in China, it has committed to serve the country’s science and innovation enterprises, the venture said.

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SVB became the biggest US lender to fail in more than a decade after a tumultuous week that saw an unsuccessful attempt to raise capital and a cash exodus from the tech start-ups that had fuelled the company’s rise.
A customer reads a press release at the entrance of the Silicon Valley Bank headquarters in Santa Clara, California, on March 10, 2023. The US lender became the country’s biggest bank failure in more than a decade, after its long-established customer base of tech start-ups grew worried and yanked deposits. Photo: Bloomberg
A customer reads a press release at the entrance of the Silicon Valley Bank headquarters in Santa Clara, California, on March 10, 2023. The US lender became the country’s biggest bank failure in more than a decade, after its long-established customer base of tech start-ups grew worried and yanked deposits. Photo: Bloomberg

Regulators stepped in and seized the US bank on Friday in a stunning downfall for a lender that had quadrupled in size over the past five years.

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