Hong Kong
CNN
—
China’s Andon Well being, a maker of medical units, says it has full entry to funds parked at Silicon Valley Financial institution, after the US authorities intervened to backstop all of the deposits on the failed lender.
The Tianjin-based firm, which manufactures shopper well being units and provided Covid take a look at kits to the US throughout the pandemic, has money deposits at SVB value 5% of its complete money and money equivalents.
That quantities to roughly 675 million yuan ($98 million), in response to calculations based mostly on its most up-to-date earnings report.
“Our deposits at Silicon Valley Financial institution can be utilized in full and haven’t suffered any losses,” the corporate mentioned in a Tuesday submitting to the Shenzhen Inventory Trade.
The announcement comes after the US authorities took extraordinary measures on Sunday to avert a possible banking disaster following the collapse of SVB. These measures embody guaranteeing that prospects of the financial institution could have entry to all their cash beginning Monday.
By doing that, US regulators aimed to forestall extra financial institution runs and to assist corporations that deposited massive sums with affected banks to proceed to make payroll and fund their operations
The collapse of SVB, which courted Chinese language start-ups, has brought about widespread concern in China, the place a string of founders and firms rushed to appease buyers by saying their publicity was insignificant or nonexistent.
Thus far, greater than a dozen of companies have issued statements making an attempt to pacify buyers or shoppers, saying that their publicity to SVB was restricted. Most had been biotech corporations.
SVB, which labored with almost half of all venture-backed tech and healthcare corporations in the US earlier than it was taken over by the federal government, has a Chinese language three way partnership, which was arrange in 2012 and focused the nation’s tech elite.
The SPD Silicon Valley Financial institution, which was owned 50-50 owned by SVB and native companion Shanghai Pudong Growth Financial institution, mentioned Saturday that its operations had been “sound.”
