# SVK Capital Management Limited (08813195)

> Why UK company 08813195 went into administration, from the administrators' statement filed at Companies House, by companydig. Interactive version: https://companydig.co.uk/company/08813195

- **Status:** Administration ended
- **Administration began:** 2021-05-25
- **Incorporated:** 2013-12-13
- **Location:** Norwich
- **Industry:** 66110 Administration of financial markets

## Why it went into administration

- Regulatory change or action
- COVID-19
- Creditor pressure / legal action
- Property / lease costs
- Bad debts / customer insolvency

## From the administrators' statement

SVK Capital Management Limited (“SVK” or “the Company") was incorporated on 13 December 2013. The Company was formed with the purpose of becoming an FCA Regulated broker dealer and received its FCA Regulation in July 2014.

The initial business focus of the Company was executing equity trades on behalf of clients with the focus on Initial Public Offerings. Simultaneously the Company was looking for other revenue generating activities that would be possible given its regulated status as a broker dealer.

Towards the end of 2014 SVK was approached by a prospective client that was looking for a UK based brokerage firm that could act as a platform for its stock lending business. This business required SVK to operate securities accounts for both the lender and the borrower in the transaction. The lender would make a cash loan to a borrower who would deposit shares into their account as collateral for the loan and the lender would have control over the collateral during the term of the loan. Most of the loans involved stocks that traded on the Asian exchanges, primarily the Hong Kong Exchanges (“HKEX”). The revenue opportunity for SVK comprised of fees for the delivery of shares, fees for executing trades on behalf of the lender plus other standard and customary brokerage fees. SVK explored the opportunity with its FCA advisor and decided to pursue this.

Statement of proposals: https://find-and-update.company-information.service.gov.uk/company/08813195/filing-history/MzMwODE3MTI0N2FkaXF6a2N4/document?format=pdf&download=0
Companies House register: https://find-and-update.company-information.service.gov.uk/company/08813195

Contains public sector information from Companies House, licensed under the Open Government Licence v3.0.