TLDR:
- Pinegrove Capital Partners-affiliated entity to buy SVB Capital from SVB Financial Group.
- The transaction is supported by key creditor groups and is subject to various approvals.
SVB Financial Group has entered into a definitive agreement to sell its investment platform business, SVB Capital, to a newly created entity affiliated with Pinegrove Capital Partners backed by Brookfield Asset Management and Sequoia Heritage. The agreement is subject to bankruptcy court approval, regulatory approval, and other customary closing conditions. SVB Capital currently manages $10 billion in investments for 750 limited partner investors. The transaction is supported by SVB Financial Group and key creditor groups. Pinegrove and SVB Capital will operate independently, each led by its existing management team. SVB Financial Group filed for bankruptcy protection in March 2023 and intends to evaluate strategic alternatives for SVB Capital, SVB Securities, and the company’s other assets and investments. Pinegrove CEO Brian Laibow expressed excitement about the partnership with SVB Capital, aiming to enhance liquidity options in the venture capital ecosystem.
