Yahoo Finance SVB Financial to Sell Venture Capital Business to Pinegrove
(Bloomberg) -- SVB Financial Group, the former parent company of Silicon Valley Bank, said it reached a deal to sell its venture capital unit to a newly created affiliate of Pinegrove Capital Partners.
Most Read from Bloomberg
One Out of Every 24 New York City Residents Is Now a Millionaire
Trump’s Private Life Exposed in Intimate Stormy Daniels Testimony
The transaction will involve a combination of cash and “other economic consideration” and is subject to bankruptcy court and regulatory approval, according to a statement. The buyer is backed by capital from Brookfield Asset Management and Sequoia Heritage.
The unit — called SVB Capital — is among the most valuable assets to emerge from Silicon Valley Bank’s collapse last year. SVB Financial had earlier explored selling the venture capital unit, which its advisers valued at as much as $572 million, according to court papers filed in January.
Read More: SVB Financial Strikes Deal With Creditors, Eyes Asset Shuffle
Earlier this year, SVB Financial and a crucial bloc of senior bondholders agreed to a deal centered on forming a new company that would hold valuable assets like SVB Capital and tax attributes potentially worth billions of dollars, the court papers showed.
Most Read from Bloomberg Businessweek
A New Kind of Power Company Will Put a Battery in Every Home
Boom Times Are Over for Food Startups, But That’s a Good Thing
Chris Dixon’s Campaign to Overhaul Crypto’s Grifty Reputation
©2024 Bloomberg L.P.
