Silicon Valley Bank, which collapsed earlier this month following a bank run, has been bought by fellow US regional bank First Citizens Bank.

The North Caroline based bank purchased SVB today (27 March) and will obtain all 17 former branches of SVB, the Federal Deposit Insurance Corporation said in a statement last night.

SVB, which was reformed into Silicon Valley Bridge Bank, National Association, by the FDIC following a collapse of the lender, will see all of its depositors automatically become depositors of First Citizens.

The bank has about $167bn in total assets and $119bn of total deposits, the FDIC said. Overall, $72bn of assets has been purchased in this deal, at a discount of $16.5bn.

The remaining roughly $90bn in securities and other assets will remain in FDIC receivership for disposition, and the FDIC received equity appreciation rights in First Citizens common stock worth up to $500m.

In total, the FDIC estimated that the cost of the failure of SVB to its Deposit Insurance Fund to be about $20bn.

The regulator added that it and First Citizens had entered into a loss-share transaction on the commercial loans it purchased from SVB, which is "projected to maximize recoveries on the assets by keeping them in the private sector," and minimize disruptions for loan customers. First Citizens will also assume all loan-related qualified financial contracts.

After extending the bidding window last week, the FDIC said it had seen "substantial interest" from several parties, and needed additional time to "explore more options, maximise value and achieve an optimal outcome".