UBS finalises takeover of Credit Suisse, marking an end to troubled Swiss bank's legacy
Credit Suisse was rescued by the rival Switzerland-based bank in March last year in a deal worth 3.25 billion US dollars (£2.6 billion) and has now been fully integrated.
Swiss banking behemoth UBS has finalised its acquisition of Credit Suisse, effectively drawing the curtain on the beleaguered bank which has now officially ceased operations.
UBS heralded the move as a "significant milestone" in the consolidation of the two financial institutions.
In a dramatic rescue operation last March, Credit Suisse was snapped up by its domestic rival in a deal valued at 3.25 billion US dollars (£2.6 billion).
The transaction marked a pivotal moment for the troubled lender, which had been scrambling to recover but witnessed its shares plummet within days.
Years of financial erosion and substantial losses preceding its downfall, coupled with market turbulence and a wave of client withdrawals, left Credit Suisse vulnerable.
Moreover, the bank found itself mired in numerous fraud and misconduct controversies.
Post-acquisition, UBS has aggressively pared back Credit Suisse's investment banking arm, which reportedly suffered from "cultural issues".
Aggressive cost reductions have been a hallmark of UBS's strategy since the merger, with the firm recently hiking its savings goal to a staggering 13 billion US dollars (£10.2 billion) by 2026's close.
Credit Suisse's erstwhile chief, Ulrich Korner, is poised to depart from the merged entity later this year.
Commenting on the merger, UBS CEO Sergio Ermotti emphasised that it was "critical to facilitating the migration of clients onto UBS platforms".
While the former clients of the now-collapsed Credit Suisse have seamlessly transitioned into UBS customers, some will continue to use Credit Suisse platforms for their interactions with UBS in the interim.
In the meantime, the amalgamation of the two Swiss divisions is progressing as planned and is anticipated to be finalised between July and September.
