Roku says 26% of its cash reserves are stuck in Silicon Valley Bank

Roku has $487 cardinal of currency and currency equivalents successful uninsured deposits astatine failed Silicon Valley Bank, the streaming media institution said successful an SEC filing Friday.

About 26% of Roku's $1.9 cardinal successful currency was deposited with SVB, which was placed into receivership by the FDIC midday Friday.

Roku shares tumbled astir 5% aft hours connected the news.

"At this time, the Company does not cognize to what grade the Company volition beryllium capable to retrieve its currency connected deposit astatine SVB," Roku said successful a property release.

Nonetheless, Roku said it believed it would beryllium capable to conscionable its superior obligations for the "next 12 months and beyond" with its unaffected $1.4 cardinal successful currency reserves astatine other, "large fiscal institutions.

The illness of SVB jarred both large and tiny companies alike. As the favored lender and banker for galore Silicon Valley startups and task superior firms, the company's receivership has alarmed founders, who interest astir meeting payroll and captious obligations with constricted currency available.

FDIC security lone covers the archetypal $250,000 successful deposit accounts, a fraction of the currency that Roku and galore different companies had vaulted with SVB.

Representatives for Roku did not instantly respond to a petition for comment.