The press release is somewhat difficult to parse, but it appears like First-Citizens Bank acquired:
Liabilities: $56bn (all of SVB's remaining deposits)
Assets: $56bn (SVB's illiquid loan book notionally worth $72bn at a $16.5bn discount)
(With a loss-share agreement depending on how the loan-book evolves over times.)
This implies that First-Citizens just acquired $56bn of flightly deposits with no additional liquid assets, and those depositors just lost their FDIC insurance for any amounts over $250k. If you're one of these depositors, why wouldn't you run to a big 4 bank?
Liabilities: $56bn (all of SVB's remaining deposits)
Assets: $56bn (SVB's illiquid loan book notionally worth $72bn at a $16.5bn discount)
(With a loss-share agreement depending on how the loan-book evolves over times.)
This implies that First-Citizens just acquired $56bn of flightly deposits with no additional liquid assets, and those depositors just lost their FDIC insurance for any amounts over $250k. If you're one of these depositors, why wouldn't you run to a big 4 bank?