HSBC acquired SVB U.K. following the failure of Silicon Valley Bank (SVB) in the United States.

According to Noel Quinn, CEO of HSBC, SVB UK clients can “bank as usual, secure in the knowledge that their deposits are backed by the strength, safety, and security of HSBC.”

JPMorgan, Lloyds, Oaknorth Bank, the 2-year-old Bank of London, and ADQ, a state-backed fund from Abu Dhabi, were among the other potential suitors for SVB UK, along with HSBC.

HSBC announced on Monday that SVB U.K. had approximately £5.5 billion in loans and £6.7 billion in deposits as of Friday, with £88 million in full-year profit before taxes in 2022. The bank estimates that SVB U.K.’s tangible equity is approximately £1.4 billion, but notes that a “final calculation of the gain resulting from the acquisition will be provided in due course.”

The U.K. Treasury announced that SVB U.K. customers’ deposits would be secure as a result of the transaction, which was authorized by the Bank of England in consultation with the U.K. Treasury.

The federal government will ensure that SVB US clients have access to their funds on Monday morning. This is to ease the panic most customers are currently going through.

Evidently, the American proprietor of SVB had invested $80 billion of its customers’ funds in mortgage-backed securities yielding an average of 1.56 percent, which lost value as the Fed raised interest rates, making government bonds a more appealing investment.