The settlement means that First Citizens will take over deposits and part of the lending portfolio in SVB, according to a statement from Federal Deposit Insurance Corp (FDIC) – the state-owned company responsible for deposit guarantees in the US and which has taken over SVB since the collapse.

The SVB collapse was the start of a wave of bank turmoil in both the US and Europe, which led, among other things, to the Swiss major bank Credit Suisse being taken over by competitor UBS to avoid a major banking crisis.

The wave of concerns has also made financing more expensive for companies and banks and pushed down interest rates on government securities, a result of investors looking for safe investments in times of turmoil.

In the transaction now to be completed, First Citizens is buying assets for $72 billion, at a discount of $16.5 billion. SVB assets worth around SEK 90 billion will thus remain with the FDIC even after the deal.

First Citizens is based in Raleigh in the state of North Carolina, while Silicon Valley Bank is headquartered in Santa Clara, California.

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Banks Signature, Silvergate and Silicon valley went under at the same time. What happened during those dramatic days? Photo: SVT/montage