National Bank to buy the Canadian branch of SVB’s commercial loan portfolio

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National Bank to buy the Canadian branch of SVB’s commercial loan portfolio
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National Bank of Canada says the portfolio it will nab is made up of about $1-billion in loan commitments, of which $325-million are outstanding

The Montreal-based bank says the portfolio it will nab is made up of about $1-billion in loan commitments, of which $325-million are outstanding.

Much of the portfolio is focused on the technology, life science and global fund banking sectors and will be integrated into National Bank’s technology and innovation banking group. The bank says the deal is subject to closing conditions and must be approved by the Ontario Superior Court, which is supervising the wind up of Silicon Valley Bank in Canada.

National Bank says the deal will likely close in the coming weeks and is not expected to have a material impact on its results. Silicon Valley Bank, a U.S. financial firm favoured by startups, failed earlier this year, when its clients rushed to withdraw billions of dollars as they feared for the organization’s solvency.

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