Swiss Bank UBS Group if reports are to be accurate is about to be the owner of a failed banking group. According to reports, UBS is nearing the end of negotiations to buy their rival Credit Suisse. Suisse’s fate was expected to come down over the weekend after regulators declared that only a sale could save the bank from collapsing.
Regulators had moved quickly in hopes of stamping out any further fear when the market(s) across the world open on Monday. To be clear, a collapse of Credit Suisse likely would trigger an economic fallout not seen since the 2008 financial crisis in the United States.
The Financial Times notes that discussions over the bank remain ongoing. Talks about taking over its retail banking sector are one thing, while talks over its investment arm remain something entirely different.
UBS is asking the Swiss government to cover about $6B of the costs associated with the transaction assuming it goes through.
Be First to Comment