SVB Hunts for a Buyer After Tense, Dragged-Out FDIC Sale Failed

The effort to wind down Silicon Valley Bank was marred by an unmotivated seller, infighting between regulators and, ultimately, a failed auction.

It’s left a mess that government officials, banking agencies and potential bidders are still trying to work out as they also navigate a deal for Signature Bank and try to bolster First Republic Bank.

When a US regulator seizes a bank, it will ideally shut the doors on a Friday and secure one buyer for everything by Sunday night, just in time to calm markets before they reopen. Almost a week after SVB was put into receivership, that ...