HSBC acquires the UK subsidiary of Silicon Valley Bank for £1 after extensive negotiations involving the UK government, regulators and other potential buyers. However, the purchase does not include SVB UK’s parent company’s assets and liabilities. As of March 10, SVB UK had loans of around £5.5bn and deposits of around £6.7bn, with a yearly pre-tax profit of £88m in 2022. HSBC anticipates SVB UK’s tangible equity to reach around £1.4 billion but will provide earlier announcements for the gain resulting from the acquisition. HSBC Group CEO Noel Quinn asserts the move “strengthens our commercial banking franchise and enhances our ability to serve innovative and fast-growing firms, including in the technology and life-science sectors, in the U.K. and internationally.” The acquisition will be funded from existing funding resources and promptly completed.