London(CNN) Credit Suisse is not out of the woods just however.

Shares in the Swiss lender fell by as significantly as 12% Friday, erasing most of Thursday’s gains, as investors feared that a $54 billion lifeline from the Swiss central bank may not be sufficient to rescue the beleaguered bank.

By comparison, Europe’s benchmark Stoxx Europe 600 Banks index, which tracks 42 significant EU and UK lenders, fell by a much more modest three% by mid-afternoon.

Stefan Legge, an economics lecturer at the Swiss-primarily based University of St. Gallen, told CNN that Credit Suisse’s challenges ran specifically deep for the reason that of many hits to its reputation.

“A bank, much more than any other enterprise, calls for trust from its buyers, and that trust, that reputation, has been broken time and time once more,” Legge stated. “There is a point when it breaks.”

Credit Suisse has lost a third of its stock marketplace worth considering the fact that the begin of the year, and almost 75% in the previous 12 months, following a string of scandals and negative calls by management that have eroded investors’ self-assurance.

Clients have voted with their feet, withdrawing 123 billion Swiss francs ($133 billion) from Credit Suisse in 2022, mainly in the fourth quarter. Final month, the bank reported an annual net loss of almost 7.three billion Swiss francs ($7.9 billion), its most significant considering the fact that the international monetary crisis in 2008.

Investors have also been ditching Credit Suisse’s funds this week. European and US funds managed by the bank reported much more than $450 million in net outflows amongst Monday and Wednesday, according to Morningstar Direct information on open-finish and exchange-traded funds.

The bank’s stock has fallen specifically sharply considering the fact that Monday, immediately after the collapse of US lenders Silicon Valley Bank and Signature Bank set alarm bells ringing about banks in other markets.

On Wednesday, Credit Suisse shares crashed as significantly as 30% to hit $1.55 apiece, a new record low.

The stock rebounded 19% Thursday following the bank’s announcement that it would borrow 50 billion Swiss francs ($53.7 billion) from the Swiss central bank “to pre-emptively strengthen its liquidity.”

What now?

According to JP Morgan’s banking analysts, the bumper liquidity injection from the Swiss National Bank is not sufficient to maintain the bank afloat. In a note on Thursday, they wrote that they saw a takeover by fellow Swiss lender UBS as the most most likely endgame.

Beneath this situation, UBS would most likely spin off Credit Suisse’s Swiss enterprise considering the fact that the two banks’ combined marketplace share would make up about 30% of Switzerland’s domestic banking marketplace and imply “also significantly concentration threat and marketplace share handle.”

There are two other paths Credit Suisse could take, the analysts wrote, although they are much less most likely.

Firstly, the bank could shutter its investment bank division and raise equity by means of a partial IPO of its domestic enterprise.

Secondly, the Swiss National Bank could totally assure all deposits for Credit Suisse’s buyers, or obtain a portion of its stock. Each selections would give the bank sufficient time to restructure, according to the analysts, but would most likely be unpopular as they would need taxpayer funds.

Credit Suisse could also think about supplying much more shares to current shareholders, according to Johann Scholtz, equity analyst at Morningstar. While the move would dilute the worth of its stock, it would raise very important capital, he wrote in a note Friday.

“Credit Suisse’s liquidity position appears sufficient to deal with deposit outflows, and it must also be in a position to acquire emergency liquidity from the Swiss National Bank,” he stated.

“This does, on the other hand, not resolve Credit Suisse’s profitability challenge, nor does it address capital issues.”

Credit Suisse will be holding meetings more than the weekend to assess scenarios for the bank, Reuters reported, citing folks with expertise of the matter.

Fears more than the bank’s future have also hit its debt. One particular of the lender’s bonds, which matures subsequent month, fell three% Friday, to trade at 92% of face worth.

Bondholders are concerned about the bank’s capability to make superior on its guarantee to spend them back. The expense of getting derivatives that insure against the threat of default by the bank — recognized as a credit default swap — surged to an all-time higher Wednesday.