Silicon Valley Bank (SVB) CEO Gregory Baker has been calling customers to reassure them their money is safe at the bank, according to two people familiar with the matter.
SVB, which does business as Silicon Valley Bank, launched a $1.75 billion share sale on Wednesday to bolster its balance sheet. It said in an investor prospectus that it needed the proceeds to plug a $1.8 billion hole in its loss-making bond portfolio, caused mainly by the sale of U.S. bonds. Treasure included. The portfolio returned an average of 1.79%, well below the current 10-year Treasury yield of around 3.9%.
