The company’s stock had been under massive pressure in recent months, exacerbated by a note from the bank on March 1 that its earnings data would be delayed due to possible internal controls issues. It was also under regulatory inquiry. The Exchange explores startups, markets and money. Read it every morning on TechCrunch+ or get The Exchange newsletter every Saturday. But that’s not the new big banking news making waves in startup circles. Silicon Valley Bank (SVB), a well-known institution in the technology industry that works with venture capital firms and startups alike, announced that it was raising capital via a share sale (among other mechanisms), taking a $1.8 billion charge to divest itself of low-yield assets and double its term borrowing.
It turns out burn reduction at startups is more aspiration than reality by Alex Wilhelm originally published on TechCrunch