SANTA CLARA, Calif., Sept 15, 2010 -- SVB Financial Group (Nasdaq: SIVB) today priced an
underwritten offering of $350 million in aggregate principal amount of
its 5.375% senior notes due 2020 (the "Notes"). The Notes will be sold
at 99.300% of the principal amount and will bear interest semiannually.
The offering is expected to close on September 20, 2010.
The company intends to use (i) approximately $250 million of the
net proceeds from the sale of the senior notes to cash settle that
portion of its conversion obligation due upon conversion of its 3.875%
Convertible Senior Notes due 2011 equal to the principal amount of those
notes, or to the extent not converted, to otherwise repay the principal
amount of those notes when they become due on April 15, 2011, and (ii)
the remaining net proceeds for general corporate purposes, including
working capital.
The company has filed a registration statement, including a
prospectus, with the Securities and Exchange Commission for the offering
to which this communication relates. Before investing, investors should
read the prospectus in that registration statement and other documents
the company has filed with the Securities and Exchange Commission for
more complete information about the company and this offering. The
offering is being made solely by means of a prospectus.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy securities and shall not constitute an
offer, solicitation or sale in any jurisdiction in which such offer,
solicitation or sale is unlawful.
J. P. Morgan Securities LLC and Banc of America Securities LLC
are serving as the joint-bookrunning managers of this offering. A copy
of the preliminary prospectus relating to the offering may be obtained
from J. P. Morgan Securities LLC, Investment Grade Syndicate Desk, 383
Madison Avenue, New York, New York 10179, or by calling (212) 834-4533
or from Banc of America Securities LLC, Prospectus Department, 100 West
33rd Street, New York, New York 10001, tel: (800) 294-1322, e-mail: dg.prospectus_distribution@bofasecurities.com.
About SVB Financial Group
For more than 25 years, SVB Financial Group and its subsidiaries,
including Silicon Valley Bank, have been dedicated to helping
entrepreneurs succeed. SVB Financial Group is a financial holding
company that serves companies in the technology, life science, venture
capital/private equity and premium wine industries. Offering diversified
financial services through Silicon Valley Bank, SVB Analytics, SVB
Capital, SVB Global and SVB Private Client Services, SVB Financial Group
provides clients with commercial, investment, international and private
banking services. The Company also offers funds management,
broker-dealer services, asset management and a wide range of financial
services for companies of all sizes and stages, as well as the added
value of its knowledge and networks worldwide. Headquartered in Santa
Clara, California, SVB Financial Group operates through 26 offices in
the
U.S. and five internationally in China, India, Israel and the United
Kingdom. More information on the Company can be found at www.svb.com. (SIVB-F)
Banking services are provided by Silicon Valley Bank, the
California bank subsidiary and commercial banking operation of SVB
Financial Group, and a member of the FDIC and the Federal Reserve. SVB
Private Client Services is a division of Silicon Valley Bank. SVB
Financial Group is also a member of the Federal Reserve.
Forward-Looking Statements
This press release contains forward-looking statements within the
meaning of the federal securities laws. These forward-looking
statements include our statements regarding our offering of senior notes
and our intended use for the proceeds of the offering. These
forward-looking statements are subject to risks and uncertainties,
including, among others, adverse developments in the capital markets in
general or in the markets for securities of financial institutions in
particular; changes in legislation or regulatory requirements affecting
financial institutions; changes in the interest rate environment;
adverse changes in general economic conditions; and other risk factors
contained in the registration statement on Form S-3 filed with the
Securities and Exchange Commission on September 15, 2010.