Jun 18, 2023 - Economy

SVB Financial Group agrees to sell investment bank to CEO Jeff Leerink

Kia Kokalitcheva

SVB Financial Group has agreed to sell its investment banking division to a group led by Jeff Leerink and backed by funds managed by The Baupost Group.

Why it matters: This will bring SVB Securities' journey to a full circle. The business unit was created following SVB's acquisition in 2018 of Leerink's health care-focused investment bank.

Leerink, who founded the bank in 1995, remained the division's CEO at SVB.

Details: The group will acquire the business for cash, repayment of an inter-company note and a 5% equity instrument.

MoffettNathanson, a sell-side research business SVB had acquired to be part of its investment banking unit, will not be part of the deal.
The unit will be renamed Leerink Partners (its name before SVB's acquisition).

What's next: A court hearing regarding the proposed deal is scheduled for June 29.

Go deeper: Catch up on Axios' coverage of SVB.

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SVB Financial Group agrees to sell investment bank to CEO Jeff Leerink

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