Regulators consider loss-sharing to facilitate sale of SVB and Signature Bank.

US regulators are open to the possibility of backstopping losses at Silicon Valley Bank and Signature Bank to facilitate a sale, according to sources. The Federal Deposit Insurance Corp (FDIC) has asked interested banks to submit bids for the failed lenders, but has not indicated the size of losses it would be willing to backstop or how the arrangement would be structured. The FDIC's weekend action to sell SVB failed after major banks were unwilling to carry out such a risky deal in a short amount of time.