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

Roku has $487 million in cash and cash equivalents in uninsured deposits with failed Silicon Valley Bank, the streaming media company said in an SEC filing Friday.

About 26% of Roku’s $1.9 billion in cash was deposited with SVB, which was placed into receivership by the FDIC mid-Friday.

Roku shares fell over 4% after hours on the news.

“At this time, the company does not know to what extent the company will be able to recover cash on deposit with SVB,” Roku said in a press release.

Nonetheless, Roku said it believed it would be able to meet its capital obligations for the “next twelve months and beyond” with its unaffected $1.4 billion in cash reserves at other “major financial institutions.”

“As stated in our 8-K, we expect that Roku’s ability to operate and meet its contractual obligations will not be affected,” a Roku spokesperson said in a statement to CNBC.

The collapse of SVB trampled both large and small companies. As the lender and banker of choice for many Silicon Valley startups and venture capital firms, the company’s reception has alarmed founders, who worry about meeting payroll and critical obligations with limited cash on hand.

The FDIC insurance covers only the first $250,000 in deposit accounts, a fraction of the cash that Roku and many other companies had transferred to SVB.