The Swiss National Bank (SNB) and the Swiss Financial Market Supervisory Authority (Finma) told their American and British colleagues that the takeover by UBS was “their plan A” to stop the crisis of confidence from which Credit Suisse is suffering, writes the FT, citing an unnamed source with knowledge of the talks.
A desired solution before Monday
The Swiss central bank “wants a simple solution before the markets open on Monday”, assures the business daily, which recognizes that it is not certain that an agreement can be found.
UBS wants to assess what risks a full or partial takeover of its rival could pose to its own business, another anonymous source told the FT.
Questioned by AFP, the SNB replied that it “does not comment” just like Credit Suisse. UBS and Finma did not immediately respond to requests.
Credit Suisse has been in turmoil for two years, but things accelerated on Wednesday when investors – shaken by the bankruptcy of Silicon Valley Bank in the United States – sold off shares of the second Swiss bank. The stock was worth just 1.55 Swiss francs at the height of the storm, an all-time low.
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Credit Suisse is considered a weak link in the banking sector since a series of scandals and a restructuring plan that is struggling to convince.
A hypothesis already mentioned
The hypothesis of a takeover of Credit Suisse by a bank had also been mentioned by analysts at JP Morgan this week, “with UBS as a potential option”.
Given the weight that this merger would confer on the two banks, they imagine that the Swiss branch of Credit Suisse, which includes retail banking and loans to SMEs, could be listed on the stock market or split up.
>> The point Friday evening on the situation of Credit Suisse in the 7:30 p.m.:
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