SVB shares halted for pending news after sinking another 69% premarket

Adding to SVB's woes, venture capitalists including Peter Thiel's Founders Fund urged portfolio businesses to limit their exposure to the firm

SVB Financial Group shares extended their plunge before being halted in premarket trading for pending news as prominent venture capitalists recommended companies withdraw their money from the lender, sparking further worries over its financial health and liquidity in the wider banking sector.
 

The stock, which fell by as much as 69per cent premarket on Friday, has tumbled following surprise announcement Wednesday from the Santa Clara, California-based bank holding company that it was issuing $2.25 billion of shares to bolster its capital position after a significant loss on its investment portfolio.

The blow triggered a sharp selloff in US lenders,