First Citizens Bank & Trust Company has acquired Silicon Valley Bank (SVB) in a deal mediated by the Federal Deposit Insurance Corporation (FDIC). As of March 10, 2023, SVB had $167 billion in total assets and approximately $119 billion in total deposits.

First Citizens purchased $72 billion worth of SVB’s assets “at a discount of $16.5 billion,” while approximately $90 billion in securities and other assets will remain in receivership for disposition by the FDIC.

The FDIC estimates the cost of the failure of SVB to its Deposit Insurance Fund (DIF) to be approximately $20 billion, making it one of the costliest bank failures in US history, surpassing Indymac’s ’08 failure that cost $12.4 billion. The FDIC has obtained equity appreciation rights in First Citizens Bancshares, Inc. as part of the deal.