off-the-wire

SVB Financial launches $1.75 bln stock, convertible offerings

Kitco Media
By Reuters
Published:
Updated:
Reuters
March 8 (Reuters) - SVB Financial Group said on Wednesday it intends to offer $1.25 billion of its common stock and $500 million of depositary shares in separate offerings.


The California-based financial company also said it sold about $21 billion of securities, which will result in an after-tax loss of $1.8 billion in the first quarter of 2023.


Shares of SVB were down 15% in trading after the bell. SVB said it had entered into an additional agreement with private equity company General Atlantic, which will purchase $500 million of common stock at the public offering price in a separate private transaction.


Up to Wednesday's close of $267.83, the company had a market value of $15.86 billion, according to Refinitiv. SVB said Goldman Sachs and SVB Securities will act as book-running managers for each offering.
(Reporting by Ananya Mariam Rajesh in Bengaluru; Editing by Krishna Chandra Eluri)

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