Silvergate Capital Corporation Announces Intent to Wind Down Operations and Voluntarily Liquidate Silvergate Bank
08 Março 2023 - 6:30PM
Business Wire
Company Considering How to Best Preserve
Residual Value of its Assets
Silvergate Capital Corporation (“Silvergate” or “Company”)
(NYSE:SI), the holding company for Silvergate Bank (“Bank”), today
announced its intent to wind down operations and voluntarily
liquidate the Bank in an orderly manner and in accordance with
applicable regulatory processes.
In light of recent industry and regulatory developments,
Silvergate believes that an orderly wind down of Bank operations
and a voluntary liquidation of the Bank is the best path forward.
The Bank’s wind down and liquidation plan includes full repayment
of all deposits. The Company is also considering how best to
resolve claims and preserve the residual value of its assets,
including its proprietary technology and tax assets.
In connection with the above: Centerview Partners LLC is acting
as financial advisor, Cravath, Swaine & Moore LLP is acting as
legal advisor and Strategic Risk Associates is providing transition
project management assistance.
In addition, Silvergate Bank made a decision to discontinue the
Silvergate Exchange Network (SEN), which it announced on March 3,
2023 on its public website. All other deposit-related services
remain operational as the Company works through the wind down
process. Customers will be notified should there be any further
changes.
Forward Looking Statements
This press release contains forward-looking statements within
the meaning of the Securities Exchange Act of 1934, as amended.
These forward-looking statements reflect our current views with
respect to, among other things, future events and our financial
performance. Although we believe that the expectations reflected in
these forward-looking statements are reasonable as of the date
made, such forward-looking statements are not guarantees of future
performance and are subject to risks, assumptions and uncertainties
that are difficult to predict. There are or will be important
factors that could cause the Company’s actual results to differ
materially from those indicated in these forward-looking
statements, including, but not limited to, the following: the
ability of the Company to wind down the Bank’s operations and
liquidate the Bank in an orderly and timely manner and to fully
repay customer deposits; the Company’s ability to successfully
resolve claims and preserve any residual value of its assets; the
Company’s or the Bank’s ability to obtain applicable regulatory or
governmental approvals relating to the wind down and liquidation
process; the Company’s ability to comply with the heightened
regulatory scrutiny of banking institutions that provide products
and services to the digital asset industry; risks and
uncertainties, including potential liability and restrictions on
the Company’s historical business, resulting from various
litigation (including private litigation) and regulatory and other
inquiries and investigations against or with respect to the
Company, investigations from our banking regulators, congressional
inquiries and investigations from the U.S. Department of Justice;
the timing and results of our additional procedures and
documentation and the completion of audit procedures by our
independent registered public accounting firm; the Company’s
ability to file its Form 10-K and future SEC reports on a timely
basis; the Company’s assessment in accordance with applicable
accounting rules regarding the Company’s ability to continue as a
going concern for the twelve months following the issuance of its
financial statements; the possibility that the Company and the
ongoing review by the Company’s independent registered public
accounting firm may identify errors or control deficiencies with
respect to the Company’s internal controls over financial
reporting; the Company's ability to remediate any possible material
weaknesses; and other risk factors set forth in the Company’s SEC
filings. The inclusion of these forward-looking statements should
not be regarded as a representation by us or any other person that
such expectations, estimates and projections will be achieved.
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version on businesswire.com: https://www.businesswire.com/news/home/20230308005795/en/
Investor Relations: Edelman Smithfield for Silvergate
(858) 200-3782 investors@silvergate.com Media: Edelman
Smithfield for Silvergate press@silvergate.com
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