(Reuters) – SVB Financial Group’s chief executive officer and chief financial officer resigned this week, and the bankruptcy firm’s restructuring committee appointed turnaround experts as interim chief financial officer. Appointed Chief Financial Officer (CFO).
SVB said CEO Gregory Becker stepped down on April 19 and financial chief Daniel Beck stepped down on April 18. The two chief executives were sued in March by shareholders who accused them of hiding how rising interest rates had made the Silicon Valley banking sector “particularly vulnerable” to bank performance.
The beleaguered company hired Alvarez & Marshall (A&M) as a restructuring advisor. On April 20, the restructuring committee appointed A&M’s Nicolas Grossi as the company’s interim chief financial officer, according to documents.
Grossi, 44, is managing director of A&M’s North American commercial restructuring practice in Chicago. He has turned around companies in a variety of industries including financial services, automotive, recycling, oil and gas, manufacturing, transportation and healthcare.
SVB is in bankruptcy proceedings after California regulators shut down Silicon Valley Bank in early March and designated the Federal Deposit Insurance Corporation (FDIC) as a trustee, and the 2008 financial crisis saw Washington Mutual It’s the biggest bankruptcy since the bankruptcy.
The regulator then agreed to back a deal for local lender First Citizens BankShares (FCNCA.O) to buy Silicon Valley Bank.
Reported by Mehnaz Yasmin, Bengaluru. Edited by Anil D’Silva
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