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I'm resolving this positively, given First Reserve's agreement with the FDIC to acquire all of the assets and liabilities of SVB.

I mentioned 80% of SVB ownership in the description, which I believe is irrelevant at this point since (at least per my understanding) SVB equity is essentially wiped out.

Please feel free to let me know if you disagree with this resolution, as I can always request a resolution change from the Manifold team.

https://www.firstcitizens.com/m-a/svb

It has to happen within 4 days, which makes me think it's at least slightly less than 97%

It’s obviously YES.

(Most M&A likewise involves the business itself not transfer of liquid assets)

If I'm reading correctly, it's not 80%

https://www.fdic.gov/news/press-releases/2023/pr23023.html

As of March 10, 2023, Silicon Valley Bridge Bank, National Association, had approximately $167 billion in total assets and about $119 billion in total deposits. Today's transaction included the purchase of about $72 billion of Silicon Valley Bridge Bank, National Association's assets at a discount of $16.5 billion. Approximately $90 billion in securities and other assets will remain in the receivership for disposition by the FDIC. In addition, the FDIC received equity appreciation rights in First Citizens BancShares, Inc., Raleigh, North Carolina, common stock with a potential value of up to $500 million.

The description says 80% of SVB ownership, which I would normally interpret to mean equity, but in this case the company is being dissolved and the assets sold off. My understanding is that First Citizens is buying 100% ownership of the deposits, loans, brand, employees, physical bank branches, etc, which is the core of the bank, what makes SVB SVB. The $90B of securities the FDIC is keeping are like treasuries and MBS, which are liquid and fungible.

There's no reason for the FDIC to include liquid securities in the auction when they can just sell them on the open market

Also every newspaper headline has been saying some variation of "First Citizens Buys SVB," not "First Citizens Buys Part of SVB"

@ahalekelly It's not clear to me how this will resolve, but newspaper headlines are neither here nor there I would think.

Work is busy rn but I will review latest events when possible