Daily Management Review

SVB Securities managers to spend $55 million on the bank


The Wall Street Journal reports that SVB Securities' managers will purchase the company for $55 million cash under the direction of its chief executive.

Petr Kratochvil
Petr Kratochvil
According to The Wall Street Journal, management at investment bank SVB Securities, led by its chief executive Jeff Leerink, will purchase the company for $55 million in cash.

Documents filed with the U.S. Bankruptcy Court state that SVB Securities' management will also assume some of the bank's other liabilities and pay $26 million of the bank's debts as part of the agreement. The Baupost Group, owned by billionaire Seth Klarman, will handle the funds used to secure the acquisition.

SVB Securities will change its name to Leerink Partners after the transaction is finished, which the court might approve as soon as this month. The company has been facing bankruptcy procedures since the middle of March.

source: wsj.com