UBS expects to complete its takeover of Credit Suisse “as early as June 12”, which will create a giant Swiss bank with a balance sheet of $1.6 trillion.
Fabrice Coffrini | Afp | Getty Images
Swiss bank UBS on Monday said that it had formally completed the takeover of its rival Credit Suisse.
UBS agreed to the $3.2 billion deal in March, with Swiss regulators playing a key role in the acquisition amid worries that severe losses at Credit Suisse destabilizing the banking system.
The newly-enlarged UBS will have a balance sheet of $1.6 trillion.
Regulators said Friday that they would cover losses of up to 9 billion Swiss francs ($10 billion) after UBS incurs the first 5 billion Swiss francs as part of the transaction, as it absorbs a portfolio that does not entirely “fit its business and risk profile.”
This is a breaking news story and will be updated shortly.