The Hong Kong Monetary Authority (HKMA) has reassured depositors that the city’s banking system is protected after at least 13 Hong Kong-listed technology and biotech firms revealed they have deposits totaling USD217.23m at Silicon Valley Bank (SVB). The firms include Beijing-headquartered biotech firm BeiGene, which had USD175.5m of uninsured deposits at SVB, equivalent to 3.9% of its cash holdings of USD4.5bn. US regulators announced on Sunday that SVB’s depositors will have access to their money from Monday. SVB was taken over by the US Federal Deposit Insurance Corporation last week due to liquidity concerns. The HKMA has confirmed that SVB is not authorised to carry-out banking operations or take deposits in Hong Kong. Shanghai-headquartered biopharmaceutical company Zai Lab said in a filing that it has USD23.2m of deposits at SVB, representing 2.3% of its total cash of USD1.08bn.
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