'Doubt any prediction will play': Anupam Mittal's optimistic take on SVB crises
2 min read . Updated: 12 Mar 2023, 09:31 PM IST
Premium- Anupam Mittal is the second Shark to react to the SVB crises, earlier BharatPe founder Ashneer Grover
As Indian startups sweat over the collapse of Silicon Valley Bank (SVB), Shark Tank India Judge and investor Anupam Mittal has shared some thoughts which can calm down the nerves. While taking LinkedIn on Sunday, Mittal commented on the timing of the bank crises and how the United States government will work at solving it early ahead of an election year.
“Lots of extreme doomsday predictions following the #SVBRun but doubt any will play out. The issue has serious political ramifications right before an election year and so US govt will ensure there is no contagion," the Shadi.com founder said.
Mittal also pointed out that it is more of a liquidity issue driven by a run on the bank.
“Also the cost of securing #SVB clients is relatively low, given asset base … it’s more of a liquidity issue driven by a run on the bank. Unfortunately equity and bond holders of the bank are toast. What do you think?," Mittal added.
The comments by the Shark came at a time when according to the reports around 10,000 startups are expected to be impacted by the SVB crises. The reports add that it can also kickstart another spate of layoffs from startups in an economy where the big tech giants are already working on a mission mode to lay off people.
Anupam Mittal is the second Shark to react to the SVB crises, earlier BharatPe founder Ashneer Grover took a dig at venture capitalists (VCs) after the collapse of the US's Silicon Valley Bank (SVB).
"Eager to see how many VCs lose their jobs (yes they do jobs - are not founders and it’s not their own money that they deploy) in the aftermath of SVB," Grover said in a tweet.
"VC space needed a cleanup for long. Ab number aayega inka (Now their number will come)--too stupid people have made too much easy money in VCs doing nothing," he added.