WSJ: Carlyle In Talks To Buy Silverton Bank

(Reuters) – Private equity firm The Carlyle Group and some investors are in talks to buy the failed Silverton Bank of Atlanta, which provided services to other banks rather than to consumers, the Wall Street Journal said, citing people familiar with the matter.

Carlyle had also led a bid for Silverton prior to its failure, but the offer was rebuffed by regulators, a person familiar with the situation told the paper.

The Silverton deal would come with government assistance, which means the Federal Deposit Insurance Corp would share in future loan losses at the bank, thus limiting Carlyle’s downside, the paper said.

Carlyle and Silverton were not available for comment outside regular business hours. (Reporting by Esha Dey in Bangalore, Editing by Ian Geoghegan)