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Credit Suisse sold to UBS for $3.2 billion in emergency rescue deal

UBS has agreed to buy its rival Credit Suisse for CHF 3 billion ($3.2 billion), with Swiss regulators playing a key part in the deal to protect the global banking system from contagion. Credit Suisse shareholders will receive 1 UBS share for every 22.48 Credit Suisse shares they hold. The Swiss National Bank has pledged a loan of up to CHF 100 billion ($108 billion) to support the takeover. The combined bank will have $5 trillion of invested assets. Credit Suisse had already been battling a string of losses and scandals, with the bank's balance sheet twice the size of Lehman Brothers' when it collapsed.
Switzerland Finance 20-Mar-2023 Jerome Powell Janet Yellen Colm Kelleher Karin Keller-Sutter Ulrich Koerner Mergers Financial Stability Swiss economy Swiss National Bank Credit Suisse UBS

Credit Suisse's shares plunge to all-time low

Credit Suisse's share price dropped to an all-time low, prompting a liquidity lifeline of up to $54 billion from the Swiss National Bank - the first such intervention since the 2008 Global Financial Crisis. Chronic investment banking underperformance, scandals, and risk management failures plagued the bank for years. Credit Suisse is undergoing a major overhaul, with CEO Ulrich Koerner taking over in July 2021, and former Lloyds Banking Group CEO Antonio Horta-Osorio brought in to clean up the bank's culture. However, Horta-Osorio resigned in January 2022 after violating Covid-19 quarantine rules.
Switzerland Finance 19-Mar-2023 Greensill Capital Archegos Capital Share Price liquidity Swiss National Bank Credit Suisse