FDIC to attempt another auction of Silicon Valley Bank: Report

Silicon Valley Bank (SVB) could return to the auction block with US regulators making a second attempt to find a buyer for the now-collapsed bank.

According to a March 13 report In the Wall Street Journal, the Federal Deposit Insurance Corporation (FDIC) told Senate Republicans they now have additional flexibility to sell the bank after regulators declared the collapse of SVB a threat to the financial system.

Regulators first attempted an auction of the failed bank on March 11, just a day after it closed. Bids were only open for a few hours.

However, the weekend auction reportedly saw no bids from major US banks. There was at least one offer made by another institution, but the FDIC turned it down.

With SVB declared "systemic," the FDIC has more leeway to offer incentives to bidders to buy the company, such as loss-sharing deals, according to the WSJ. However, a schedule for the second auction has not yet been set.

He FDIC is an independent agency from the United States Government created to protect bank depositors from losing their insured deposits when a bank fails; it also helps with the institution's bankruptcy process, selling assets and paying off debts.

Related: Silicon Valley Bank collapse: everything that has happened so far

California's financial watchdog close the bank of Silicon Valley on March 10 after announcing a significant sale of assets and shares to raise $2.25 billion in capital and prop up operations.

Global banking giant HSBC has already come to the rescue of SVB's UK branch, officially announcing on March 13 that its subsidiary, HSBC UK Bank, is acquisition of Silicon Valley Bank UK for 1 pound sterling ($1.21).