On Sunday, the UBS Group AG agreed to purchase Credit Suisse Group AG in about 3,250 million dollars, in arduous negotiations between US and Swiss authorities, which according to the Bloomberg agency, were intended to contain a crisis of confidence that threatened to spill over into world financial markets.
During a press conference, from the Swiss central bank, it was reported that “with the acquisition of Credit Suisse by UBS, a solution has been found to ensure financial stability and protect the Swiss economy in this exceptional situation”.
From now on, the Swiss government authorities work to change the laws and thus prevent shareholder vote on transactionwith the aim that the agreement can be closed immediately.
Credit Suisse got into this situation after a series of scandals, leadership changes and legal problems.which led to its clients withdrawing more than US$100,000 million in assets in the last months of 2022.
Thus, everything would indicate that a giant bank is born worldwide, since both entities, which will now be merged, are considered of great importance worldwide. Their union will open the doors to a banking giant that will have to be supervised and have more demanding regulatory requirements.
