March 17 (Reuters) - U.S. regulators are willing to consider the prospect of the government backstopping losses at Silicon Valley Bank and Signature Bank (SBNY.O) if it helps push through a sale, the Financial Times reported on Friday, citing people briefed on the matter.
Sources told Reuters on Wednesday that regulators at the U.S. Federal Deposit Insurance Corp (FDIC) have asked banks interested in acquiring failed lenders SVB and Signature Bank to submit bids by March 17.
However, the FDIC has not given bidders any indication of the size of losses it would be willing to backstop or any sense of how the arrangement would be structured, the people told the Financial Times.
A weekend action launched by the FDIC to sell SVB failed on Sunday after major banks balked at carrying out such a risky deal in a short amount of time.
[1/2] A notice hangs on the door of Silicon Valley Bank (SVB) located in San Francisco, California, U.S. March 10, 2023. REUTERS/Krystal Hu/File Photo