Credit Suisse shares tank

Shares of embattled global investment bank Credit Suisse fell by more than 20 percent to a record low on Wednesday.

Since Tuesday, the Swiss-listed bank’s shares have fallen continuously.

On Wednesday, Credit Suisse shares opened at 2.28 Swiss francs (2.46 U.S. dollars) per share, fell to 1.55 Swiss francs per share in intraday session and closed at an all-time low of 1.70 Swiss francs per share.

Founded in 1856, Credit Suisse is the second largest bank in Switzerland. It has an important influence in the global capital market.

Since 2021, Credit Suisse has been continuously hit by negative news, such as investment losses. The stock price of Credit Suisse has continued to fall, and its market value has evaporated significantly.

In early February, Credit Suisse announced posted a net loss of 7.3 billion Swiss francs for 2022.

This was the second consecutive year that the bank had posted a net loss. In 2021, its net loss was 1.7 billion Swiss francs.

According to the bank’s 2022 annual report released on Tuesday, there was “material weakness” in its internal control over financial reporting.

The Saudi National Bank, a major shareholder of Credit Suisse, said on Wednesday that it would not increase its stake in the bank, Bloomberg reported.

Due to the collapse of Silicon Valley Bank (SVB) in the United States, the stock prices of European banks have generally plummeted.

The disclosure of the bank’s internal control problems and its major shareholder’s refusal to continue to inject capital have made Credit Suisse’s stock price even worse, analysts said. ■


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