Shares in Swiss banking giant Credit Suisse have plunged to a record low amid fears the bank will be the next financial institution to collapse.
Shares tumbled by as much as 30 percent on Wednesday after Saudis pulled funding.
Trading in the Swiss bank’s stock was halted several times on Wednesday.
As Slay News reported Tuesday, leading Wall Street expert analyst Robert Kiyosaki, who predicted the collapse of Lehman Brothers in 2008, warned that Credit Suisse would be the next bank to implode.
Saudi National Bank, which holds 9.88% of Credit Suisse, said it is unable to purchase any more shares because of regulations.
“We cannot because we would go above 10%,” Saudi National Bank Chairman Ammar Al Khudairy told Reuters.
“It’s a regulatory issue.”
Credit Suisse CEO Ulrich Koerner told Reuters the Swiss bank’s liquidity base is “very, very strong.”
CNBC reports that shares plunged after a top investor in the embattled Swiss bank said it would not be able to provide any more cash due to regulatory restrictions.
Trading in the bank’s plummeting stock was halted several times throughout the morning as it fell below 2 Swiss francs ($2.17) for the first time.
Swiss-listed Credit Suisse shares traded 17% lower at around 3 p.m. London time (11 a.m. ET), paring some of its earlier losses after dropping more than 30% at one point.
The share price rout renewed a broader sell-off among European lenders, which were already facing significant market turmoil as a result of the Silicon Valley Bank fallout.
Some of the biggest decliners included France’s Societe Generale, Spain’s Banco de Sabadell, and Germany’s Commerzbank.