Bloomberg Law
March 10, 2023, 5:16 AM

Ackman Says US Should Mull SVB Bailout as Possible Option (1)

Tim Smith
Tim Smith
Bloomberg News

The US government should consider a “highly dilutive” bailout of SVB Financial Group if a private capital solution can’t be provided, according to Pershing Square founder Bill Ackman.

Companies backed by venture capital use SVB both for loans and operating cash and a failure of the firm could destroy a crucial long-term impulse for the economy, he said in a series of tweets. The government could also choose to guarantee deposits in exchange for warrants to enable the company to raise new funds, Ackman said.

SVB Financial Group Chief Executive Officer Greg Becker on Thursday moved to quash concern ...