Credit Suisse is in the early stages of examining alternatives to strengthen its capital, after a run of losses reduced its financial buffers, according to two individuals familiar with the situation.
The increase’s magnitude is expected to be greater than 1 billion Swiss francs ($1.04 billion), but this has yet to be finalized, according to one of the persons, who declined to be identified because the discussions are still confidential.
Credit Suisse is considering raising fresh capital to help it recover from billions of losses in 2021 and a series of costly legal headaches.
Selling shares to existing investors is the preferred option, but the Swiss bank has not ruled out tapping all shareholders, a person close to the matter said.
The deliberations come only a year after the Swiss bank raised around 1.75 billion Swiss francs from investors via mandatory convertible notes.
Fitch and Standard & Poors both downgraded their debt ratings for credit Suisse this month.
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