SVB Financial CEO Sold $3.6 Million In Stock Before Bank’s Collapse (2024)

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SVB Financial CEO Sold $3.6 Million In Stock Before Bank’s Collapse (2024)

FAQs

SVB Financial CEO Sold $3.6 Million In Stock Before Bank’s Collapse? ›

A trust owned by Silicon Valley Bank Chief Executive Officer Greg Becker sold $3.6 million worth of shares in his bank last week, days before the bank disclosed a $1.8 billion loss that triggered a fatal run on the bank, according to company filings.

Did the CEO of SVB sell stock before collapse? ›

The CEO of Silicon Valley Bank Financial sold $3.6 million in stock two weeks before the California banking giant's epic crash Friday, signaling bank officials might have known the bank was in trouble before it reported a nearly $2 billion loss that led to the biggest bank failure since the Great Recession in 2008.

Did SVB CEO sold $3.6 million? ›

Roughly two weeks before SVB Financial Group stock collapsed and its Silicon Valley Bank unit was closed by regulators, its top executive sold millions of dollars of shares. SVB (ticker: SVB) President and CEO Greg Becker sold 12,451 shares on Feb. 27 for $3.6 million, an average price of $287.42 each.

Which Silicon Valley Bank CEO sold $3.5 million $SIVB shares weeks before its collapse was spotted in Hawaii? ›

Mr. Becker is currently facing scrutiny after he sold $3,578,652.31 in common stock two weeks before SVB was shut down by federal regulators. Notably, he joined the Silicon Valley Bank three decades ago in 1993 as a loan officer.

How much is SVB worth before collapse? ›

Silicon Valley Bank history

The startup-focused lender had around $209 billion in assets and $175 billion in deposits as of Dec. 31, 2022, according to the FDIC. Customers had attempted to withdraw $42 billion by the time the bank closed for business the evening before federal regulators shut it down.

How much stock did SVB CEO own? ›

Gregory W Becker currently owns a total of 1 stock. Gregory W Becker owns 98,867 shares of SVB Financial Group (SIVBQ) as of February 27, 2023, with a value of $5,932.

Did SVB execs sell stock? ›

The bank's Chief Executive Officer Gregory Becker, Chief Financial Officer Daniel Beck, and Chief Marketing Officer Michelle Draper sold their shares of the bank's parent company SVB Financial Group.

How much money did SVB CEO lose? ›

A trust owned by Silicon Valley Bank Chief Executive Officer Greg Becker sold $3.6 million worth of shares in his bank last week, days before the bank disclosed a $1.8 billion loss that triggered a fatal run on the bank, according to company filings.

Did SVB CEO get fired? ›

The CEO of Silicon Valley Bank's parent company has resigned. SVB Financial, the bankrupt former owner of Silicon Valley Bank, said its chief executive officer and chief financial officer have resigned, more than a month after the lender collapsed into receivership.

Did the CEO of SVB get fired? ›

Gregory Becker, who was fired from SVB shortly after its March failure, earned bipartisan derision on Tuesday for his explanations during testimony before the Senate Banking Committee. Though Mr. Becker repeatedly said that SVB's unwinding was unforeseeable, senators took a sharper view of his decision making.

Who is responsible for Silicon Valley Bank collapse? ›

The collapse happened for multiple reasons, including a lack of diversification and a classic bank run, where many customers withdrew their deposits simultaneously due to fears of the bank's solvency. Many of SVB's depositors were startup companies.

Did SVB CEO CFO sold stock? ›

Silicon Valley Bank Chief Executive Officer Greg Becker sold $3.6 million of company stock under a trading plan less than two weeks before the firm disclosed extensive losses that led to its failure.

Did the CEO of SVB get sold? ›

Greg Becker sold his shares on Feb. 27, 11 days before Silicon Valley Bank was shut down by regulators. On a legal level, there is no problem a priori.

How much money does SVB still have? ›

As of December 31, 2022, Silicon Valley Bank had approximately $209.0 billion in total assets and about $175.4 billion in total deposits. At the time of closing, the amount of deposits in excess of the insurance limits was undetermined.

Is my money safe after the SVB collapse? ›

The FDIC protects any deposits up to $250,000, per person, per bank account, and the large majority of depositors have less than that insured amount. Open multiple bank accounts with less than $250,000 in each to guarantee your money is federally insured.

Did everyone get their money out of SVB? ›

On Sunday, the US Treasury, Federal Reserve, and Federal Deposit Insurance Corporation said in a joint statement that all depositors of SVB would be made whole on Monday. They also rolled out other measures to support the broader financial system. SVB was not a giant bank — it ranked 16th in US by assets.

What happened to SVB stockholders? ›

SVB stockholders and investors took a big hit because, unlike customers, they were not backed by FDIC on their investment. Other issues include a lack of money from deposits for immediate expenses such as payroll. Large tech companies with significant cash in SVB include Etsy, Roblox, Rocket Labs and Roku.

Who withdrew money from SVB before collapse? ›

Investors at several venture capital firms, including executives at Peter Thiel's Founders Fund, Union Square Ventures and Coatue Management urged their portfolio companies to withdraw their deposits from the bank, with Founders Fund withdrawing all of its funds from the bank by the morning of March 9.

Did SVB shareholders get wiped out? ›

They're wiped out. The asset value of the bank itself is zero, and there's essentially no chance of a government bailout for shareholders. Treasury Secretary Janet Yellen has gone so far as to come out and officially confirm this, referencing the 2008 banking crisis and stating, “We're not going to do that again.”

How much stock did SVB leadership sell? ›

Filings with the SEC reviewed by the Journal show that 11 days before SVB went into receivership, CEO Gregory Becker sold more than $3.5 million in stock in the bank. The same day, the bank's CFO Daniel Beck sold more than $575,000 worth of shares.

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