Startup-focused lender Silicon Valley Bank (SVB)was closed by the California banking regulators on March 10th and appointed the Federal Deposit Insurance Corporation (FDIC) as a receiver. The banking regulator took this action to protect depositors following a dive into the value of SVB’s investment holdings and a rush of withdrawal requests from startups and venture capitalists (VCs), SVB’s primary customer base. Many leading startups have their funds held with SVB and are struggling to process payroll to employees, pay vendors, and keep their lights on.
The following is the list of companies that have made public statements or mentioned on the news radar about their exposure to Silicon Valley Bank. The page will be updated frequently. [Last Update: March 14, 2023]
Circle has $3.3 billion of its $40 billion of USDC reserves at Silicon Valley Bank.
The U.S. cryptocurrency firm Circle’s USD Coin lost its dollar peg and fell to a record low after the company revealed it has nearly 8% of its $40 billion reserves tied up at the collapsed lender Silicon Valley Bank. Source tweet.
BuzzFeed Said More Than Half Its Cash Was Held at Silicon Valley Bank
BuzzFeed on Monday said the majority of its cash had been held at Silicon Valley Bank, which collapsed Friday after a run on deposits and was taken over by regulators.
The digital publisher “is accessing its funds and does not currently anticipate any disruption to its ongoing operations,” it said as it reported fourth-quarter results. The company ended 2022 with cash and cash equivalents of approximately $56 million. Source
Launch Startup Astra Space Seeks to Move Cash From Failed SVB
Astra Space Inc. said it’s seeking new financial partners after the failure of Silicon Valley Bank, where the launch startup has held its cash and maintained securities accounts. About 15% of Astra’s cash, equivalents, and marketable securities were with the bank as of March 10. Source
AcuityAds Provides Update on Silicon Valley Bank Cash Deposits
The Canada-based tech firm AcuityAds Holdings Inc. maintains U.S. bank accounts with Silicon Valley Bank with approximately US$55 million on deposit. Source
Roku held nearly $500 million at Silicon Valley Bank and did not know if it will recover the funds.
Roku held approximately $487 million, or about 26% of its cash and cash equivalents, of its $1.9 billion in cash at the Bank. Those funds are largely uninsured, the streaming technology company disclosed in an SEC filing. Source
BlockFi has $227 million in uninsured funds in Silicon Valley Bank.
According to a new bankruptcy filing, defunct crypto lender BlockFi has $227 million worth of uninsured funds allocated to a money market mutual fund (MMMF) offered by troubled Silicon Valley Bank (SVB) according to documents filed Friday related to BlockFi’s bankruptcy proceedings.Source
Silicon Valley Bank’s Collapse Causes Start-Up Chaos – Vox Media
Vox Media, the publisher of New York Magazine and The Verge, has a substantial concentration of cash at Silicon Valley Bank. The company’s credit cards, which Silicon Valley Bank issued, stopped working on Friday. Penske Media, Vox Media’s largest shareholder, said in a statement that it was ready if the company required additional capital but added that it didn’t foresee any issues.Source
Roblox says 5% is held with SVB.
Video game developer Roblox issued regulatory filings Friday that about $150 million, or 5% of its $3 billion cash and securities balance as of Feb. 28, were held with SVB Financial Group’s Silicon Valley Bank. Source
SVB contagion reaches clients of payroll firm Rippling.
Rippling — one of the top options for crypto companies to compensate their employees, according to industry participants. “Rippling has historically relied on SVB rails for our payroll and other products,” CEO Parker Conrad said on Twitter.Source
Space sector reacts to collapse of Silicon Valley Bank – Rocket Lab held almost 8%.
Aerospace manufacturer Rocket Lab reported an aggregate balance with Silicon Valley Bank “of approximately $38 million, which is approximately 7.9 percent of the Company’s total cash and cash equivalents and marketable securities as of December 31, 2022,” in a March 10 report filed with the Securities and Exchange Commission. Source
SVB losses shake the Swedish pension system with Alecta’s major holding.
Stockholm-based Alecta, which oversees more than $104 billion in assets, was SVB’s fourth-biggest shareholder at the end of last year with a holding worth $605 million, according to data compiled by Bloomberg. Following a 60% plunge in SVB’s stock on Thursday, the value of the stake was worth only $279 million. Source
Silicon Valley Bank collapse affects Patriot Software
Patriot Software, a Jackson Township company that provides accounting and payroll software for millions of American businesses and their accountants, uses Silicon Valley Bank as its bank to hold the funds for the direct deposits it processes for customers, according to its website.Source
LendingClub: Limited Exposure to Silicon Valley Bank
LendingClub’s relationship with SVB is limited to funds on deposit of $21 million, which amount is not material to the Company’s liquidity position or capital levels and does not pose a risk to the Company’s ongoing business or operations. The recovery of the funds will be subject to the FDIC process.”Source
Solar firms Sunnova and Sunrun shed light on exposure to Silicon Valley Bank
Residential solar company Sunrun stated SVB was one of the lenders in two of its credit facilities but said it was less than 15% of its total hedging facilities. It has cash deposits totaling nearly $80 million, while SVB’s undrawn commitment in the non-recourse senior aggregation warehouse facility is about $40 million. Source
Stem announces minimal exposure to Silicon Valley Bank
The artificial intelligence (AI)-driven energy solutions and services company Stem said that an estimated less than 5% of the cash and short-term investments could be impacted by the closure of the bank. Source
Biotechs scramble to assure investors of minimal SVB exposure
Sangamo Therapeutics of Brisbane said “substantially all” of its $34.4 million deposited at SVG are uninsured. “At this time, Sangamo does not know to what extent it will be able to recover its cash deposits at SVB nor the timing of any recovery,” the gene therapy company said in an SEC filing Friday. Source
Popular kids’ toy store Camp is begging customers for cash because its money is tied up in SVB.
Experiential toy store Camp is caught up in the ripple effects of Silicon Valley Bank’s collapse. CEO Ben Kaufman said all of the company’s cash was in the bank, so it’s having a 40% off sale with the promo code “BANKRUN.” Source
Portland-based Slumberkins affected by Silicon Valley Bank collapse.
Portland-based Slumberkins sells toys and educational resources for young children. In an Instagram post on the Slumberkins account, the company stated, “The cash held there was our capital that enabled us to operate the business, continue to launch new collections and content and develop the tools and resources that are being loved by so many children, families, and schools.”Source
Wrapbook Update: Our Response to the Collapse of Silicon Valley Bank
Entertainment production payroll company Wrapbook is also affected by the collapse of SVB. As posted on Twitter, the company said that the crash would cause payroll to be delayed and impact the processing of uncashed checks. Source