Trading in shares of SVB Financial Group (NASDAQ: SIVB) was halted at 8:35 a.m. ET Friday morning due to pending news. CNBC reported that the harried bank has not been able to raise the cash it needs and is going to put itself up for sale.
Shortly after the opening bell, David Faber at CNBC reported that while there is interest in buying the bank, there are so many depositors pulling their funds out, a potential buyer will have a difficult time placing a value on SVB.
Shares dropped 60% on Thursday and traded down nearly 63% before being halted in Friday’s premarket session.
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SVB had filed Thursday for a secondary offering of $1.25 billion in common stock and $500 million in convertible preferred shares. The bank already had announced a $500 million sale of common stock to General Atlantic, contingent on closing the other common stock offer.
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We will update this breaking story later this morning.
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