Credit Suisse Raises $4.3 Billion Capital for Restructuring

The video discusses Credit Suisse's capital increase, highlighting the success of the rights offering where 98.2% of shares were bought by shareholders. This capital raise, totaling 4 billion francs, aims to fund the bank's restructuring. The market reacted positively, with shares rising in Zurich and the US. The CEO views this as a milestone for the 'new Credit Suisse,' strengthening its financial position. Despite past challenges, including major fund losses and scandals, the bank is now focused on restructuring and improving its financial future.

What percentage of shares were bought by existing shareholders in the Credit Suisse rights issue?

• 95.5%

• 98.2%

• 90.0%

• 85.7%

How much total capital was raised by Credit Suisse in the second leg of the capital increase?

• 2.5 billion francs

• 3 billion francs

• 2 billion francs

• 4 billion francs

Which bank became the largest shareholder of Credit Suisse after the private placement?

• Saudi National Bank

• HSBC

• Deutsche Bank

• Barclays

What key financial metric was strengthened by the rights offer?

• Liquidity coverage ratio

• Return on equity

• Debt-to-equity ratio

• CET1 ratio

What were the two major fund catastrophes that contributed to Credit Suisse's financial challenges?

• Madoff and Stanford

• Lehman Brothers and Bear Stearns

• Enron and WorldCom

• Archegos and Greensill