Silicon Valley Bank to form JV in China

Wed Dec 22, 2010 5:08am IST

Related Topics

Stocks

   

REUTERS - Silicon Valley Bank, the banking unit of SVB Financial Group (SIVB.O), said it has signed a joint venture agreement in China with Shanghai Pudong Development Bank Co, Ltd.

Silicon Valley will make a capital contribution of $75 million to the joint venture and own a 50 percent stake in it, the company said in a regulatory filing.

The joint venture has to meet the approval of the U.S. and Chinese regulatory authorities, SVB said.

SVB had said in October that it was working towards establishing a banking platform focused on technology and life science companies in China.

In October, the company also opened an international subsidiary in Beijing - SVB Business Partners (Beijing) Co Ltd. It also has invested in Chinese companies like Zhejiang Uni-power Guaranty and Zero2IPO Group and other venture capital funds.

The company hosted its first board of directors meeting in Shanghai in November -- the first time it has held its board meeting outside the United States.

China Mobile had bought a 20 percent stake in Shanghai Pudong Development Bank in March for about $5.8 billion to help the mobile operator dominate the country's nascent mobile e-commerce market.

Shares of the Santa Clara, California-based SVB closed at $52.84 on Tuesday on Nasdaq. Their value has risen 16 percent since the company opened its Beijing unit in October.

(Reporting by Rachel Chitra in Bangalore; Editing by Roshni Menon)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared
BSE Sensex rises over 1 percent on reforms, election boost

BSE Sensex rises over 1 percent on reforms, election boost

The BSE Sensex and Nifty rose more than 1 percent on Monday to mark their biggest daily gain in more than one week after the government's energy reforms led to a rally in oil firms, while wins by Prime Minister Narendra Modi's party in two state elections raised expectations for additional reforms.  Full Article 

REUTERS SHOWCASE

Indian State Media

Indian State Media

Controlling the message: Modi chooses state media  Full Article 

ONGC Stake

ONGC Stake

Govt meeting bankers to discuss share sale in ONGC - source  Full Article 

Gold Curbs

Gold Curbs

Finance Ministry wants to reimpose curbs on gold imports - ET  Full Article 

World Stocks

World Stocks

Shares advance on strong data, earnings  Full Article 

IBM Chip Unit

IBM Chip Unit

IBM to pay Globalfoundries to take chip unit  Full Article 

Eyeing Reebok

Eyeing Reebok

Investor group aims to buy Reebok unit - WSJ  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage