Silvergate Capital (OTC:SICP) provided a detailed update from its new board, appointed when the company emerged from Chapter 11 on March 31, 2026. Silvergate had filed for Chapter 11 on September 17, 2024, and its amended plan was confirmed on November 13, 2025 following a settlement with major shareholders Stilwell Group and Exploration Capital.
Upon emergence, Silvergate cancelled $200 million of preferred stock, assumed no liabilities, and retained assets including federal NOLs of $1.6 billion, California NOLs of $1.2 billion, the SEN and Diem assets, potential legal claims, a “Second Priority” interest in the Argent Liquidation Trust, and $1.6 million in cash. On August 5, 2026, Stilwell and X‑Cap invested $3.0 million for 5.0 million Class A shares at $0.60, bringing total Class A shares outstanding to 37,230,442. A tax study completed the same day concluded no ownership change under IRC Section 382, preserving the tax assets. Silvergate published 2025 financials on August 8, 2026 and its stock was uplisted from the OTC “Expert Market” to the “Pink Limited Market” on August 18, 2026.
The Stilwell Group, owning 12.4% of Silvergate Capital (OTC: SICP, SICPQ, SICPL), commented on the results of Silvergate's 2024 Annual Meeting held on September 27. Joseph Stilwell was elected to the board with over 10.5 million votes, representing more than 95% of shares voted. In contrast, legacy directors received just over 1 million votes and were notably absent from the meeting.
The press release highlights that four legacy directors oversaw Silvergate Bank's demise and previous management charged by the SEC with 'negligence-based fraud'. Joseph Stilwell stated his commitment to maximizing value for common shareholders. The release also mentions Cravath, Swaine & Moore LLP's role as lead counsel during litigation and failed attempts to stop the Annual Meeting.