Washington - SVB Financial Group has filed for Chapter 11 bankruptcy protection seeking a court-supervised reorganization, days after its former unit Silicon Valley Bank was taken over by U.S. regulators.

The legal process will allow the company to reorganize its debts and assets under the supervision of a court-appointed trustee. The purpose of the filing is to seek buyers for its assets after its former unit, Silicon Valley Bank, was taken over by U.S. regulators.

The move by SVB Financial Group follows emergency measures to restore confidence in the company, which had failed to alleviate concerns about a financial contagion.

The collapse of Silicon Valley Bank and Signature Bank last week caused significant losses for financial stocks, and credit stress has increased for Wall Street's biggest banks.

SVB Financial Group suffered a significant loss after it was forced to sell a portfolio of treasuries and mortgage-backed securities to Goldman Sachs at a loss. This was due to a rise in yields that eroded the value of the securities.

"It is impossible to know if there are other shoes to drop, but I think a good majority of the negative news is out there," said Art Hogan, chief market strategist at B. Riley Wealth Management to Reuters.

To plug the resulting hole, the company attempted to raise $2.25 billion in equity, but this led to clients withdrawing their deposits, causing $42 billion of outflows in a day.

The company plans to proceed with the process of evaluating alternatives for its businesses, assets, and investments, including its holding company, SVB Capital, and SVB Securities. However, SVB Securities and SVB Capital's funds and general partner entities are not included in the Chapter 11 filing.

The company stated that it has about $2.2 billion in liquidity, and it had $209 billion in assets at the end of last year.