Private equity firms Apollo and KKR among those reporting Silicon Valley Bank loans

People wait outside Silicon Valley Bank’s headquarters in Santa Clara, California to withdraw money after the federal government intervened over the bank’s collapse on March 13, 2023.

Nikolas Liepin | Anadolu Agency | Getty Images

Private equity firms Apollo Global Management and KKR are among the parties reviewing a book of loans held by Silicon Valley Bank, people familiar with the discussions told CNBC.

Two of those people said Apollo could be interested in acquiring part of the company at par. However, one of the sources said it is unclear how the Federal Deposit Insurance Corp. plans to continue as the regulator may prefer a single buyer for the assets.

The people CNBC spoke with requested anonymity because they were not authorized to share confidential details of the discussions.

Earlier, Bloomberg reported that several private equity firms have conducted due diligence on the loan assets. The report, which cited several people with knowledge of the talks, said Apollo, Ares Management, Blackstone, Carlyle Group and KKR were among those reviewing a potential deal.

Ares and KKR declined to comment on the report. Blackstone and Carlyle were not immediately available for comment.

The FDIC took control of tech-focused SVB on Friday. At the weekend, the agency held an auction which failed to find a buyer. This prompted the regulator to set up a bridge bank, which now houses the Californian bank’s deposits. On Sunday, a plan was then devised to stop SVB’s depositors to prevent further panic in the financial system.

—CNBC’s Christina Cheddar Berk contributed to this report.

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