Silicon Valley Bank has branches in the United Kingdom, China, Denmark, Germany, India, Israel and Sweden.About 180 technology companies in the UK jointly sent a letter to the financial minister Hunter, asking the government to intervene.Hunter cooperated with Prime Minister Sunak and British President Belly to deal with the incident.
(London Composite Electric) The effects of the closure of the Silicon Valley Bank of the United States have begun to spread to other parts of the world. In the UK, which has Silicon Valley Bank Branch, the official is officially trying to reduce the potential losses of depositors.The leaders of the Asian technology industry outside all the chaos and half of the earth can't help but tremble. They are busy evaluating what impact on the technology industry that has always been highly dependent on US capital and relations to promote growth.
Silicon Valley Bank (SVB) has branches in Britain, China, Denmark, Germany, India, Israel and Sweden.About 180 technology companies in the UK jointly sent a letter to the financial minister Hunter on Saturday (March 11), asking the government to intervene.The letter warned: "The loss of deposit may cause the technology industry to be paralyzed and return the ecosystem back 20 years ago. Many enterprises will be forced to liquidate overnight."
The Bank of England announced the day before that the Silicon Valley Bank's Affiliated Corporation (SVB UK) was included in the bankruptcy procedure.Sky News reported on Sunday (12th) that Britain's largest commercial bank was given the last period of 24 hours to save SVB UK.The SVB UK board of directors contacted a loan institution including Barclays Bank and Laudi Bank Group to discuss the possibility of reaching an emergency acquisition agreement.
Hunter cooperated with Prime Minister Sunak and British President Bailey to deal with the incident.Hunter said on Sunday that he hoped to find a way to minimize the loss of the depositors and even avoid all the loss.
Sunak: Silicon Valley bank failure will not make British Banks face the same risk
Sunak said on Sunday that Silicon Valley Bank's failure will not make British banks face the same risk, and the British government is trying to strengthen the protection of domestic technology and life science industries."We believe that the risk of systematic spread does not exist. We are trying to understand the anxiety and concerns of bank customers to ensure that we can find a solution to ensure the liquidity and cash flow requirements of enterprises."
According to the Financial Times, the British government is striving for a Middle East buyer to acquire SVB UK, which is one of the leading bidders.
The British industry is worried that when the British business has been impacted by Brexit, the closure of Silicon Valley Bank may further affect the inflow of risk capital.
The Asian technology industry is also hotly discussing this incident.Bloomberg reported that the financialist and entrepreneurs talked about the news at the Wharton Business School Forum held by Singapore; at a meeting of Mumbai, the founder and investors of the startup company speculatedHome company.
To appease investors, six Chinese companies listed in Hong Kong disclosed cash deposits in Silicon Valley Bank Sunday on Sunday and pointed out that their risk exposure to Silicon Valley Bank and the closure of this bank have insignificant impact on the company's operations.Most of these six companies are Chinese pharmaceutical companies.
Silicon Valley Bank issued a statement on Saturdays Silicon Valley Bank of China Silicon Social Publication Enterprise to appease local customers.The company emphasized that it is a legal person bank registered in China and has an independent balance sheet.
Insteaders revealed that after the closure of Silicon Valley Bank, large Asian funds such as Sequoia Capital China Fund, Temasek Holdings, Zhenge Fund, and Yunfeng Fund are assessing their investment portfolio's opening to Silicon Valley Bank.Temasek shows that it has nothing to do with this bank.
China International Finance Co., Ltd. analyzes that the impact of this incident on the technology industry cannot be underestimated.Due to the high intensity of cash flow in the technology industry, if the cash deposits are impaired during the bankruptcy reorganization process, some companies may face the risk of bankruptcy.
Chen Chengjin, the founder of the Weiguanda Risk Investment Corporation, headquarters in Singapore, pointed out that Silicon Valley banks in Silicon Valley mainly served Silicon Valley's closure and limited direct impact on Asia, but the credibility of the banking industry will be hit.
The Ministry of Finance of South Korea said on Sunday that it will pay close attention to whether the domestic financial market and economy will be affected.
