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Shotgun marriage to record profits: UBS’s Credit Suisse rescue so far

Credit Suisse & UBS
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Less than six months ago, private bankers and the broader financial community were stunned when UBS announced that it would be taking over its historic rival Credit Suisse in a hastily-arranged marriage brokered by Swiss authorities.

At the time, Credit Suisse faced few options after the cumulative impact of scandals including those of Archegos Capital Management and Greensill, more than US$100 billion of client outflows, and a spiralling loss of confidence took a sledgehammer to the Zurich-based lender’s share price.

The rescue was not exactly warmly-welcomed by UBS and its investors either, despite the heavily marked-down CHF 3 billion price tag. When the deal was announced in March, UBS’s share price fell heavily as the bank faced up to the time-consuming – and likely expensive task – of integrating Credit Suisse.

UBS’s share price, trading volume, before and after Credit Suisse takeover (Source: CapitalIQ)

However, after several rounds of re-organisation – including in Asia – things are already starting to look rosier. As part of its 2Q 2023 earnings announced on Thursday, UBS unveiled record quarterly profits of US$29 billion and net new money of US$16.2 billion, prompting its share price to hit its highest point since 2008.

Below, Asian Private Banker presents a timeline of what has happened so far in the historic merger between UBS and Credit Suisse.

March 2023

UBS to merge with crisis-stricken Credit Suisse in CHF3 bn deal

UBS/Credit Suisse deal: HK and SG regulators react

UBS and Credit Suisse forced marriage: Here’s what it means for Asia

UBS turns to Ermotti as hard work of Credit Suisse rescue begins

UBS’s Khan reassures Credit Suisse bankers in closed-door meeting

April 2023

“We are truly sorry”: What we learned from UBS and Credit Suisse AGMs

Credit Suisse senior IC returns to rival UBS

UBS GWM soaked up US$28bn NNA in quarter that saw Credit Suisse collapse

May 2023

Credit Suisse CEO joins UBS board as post-acquisition structure unveiled

UBS dangles bonus in bid to keep top Credit Suisse Asia RMs

US$34.8bn: The amount UBS could reap from Credit Suisse rescue

June 2023

UBS seeks to stem Credit Suisse outflows with new three-year bonus scheme

UBS expects to finalise Credit Suisse merger by next week

Are Credit Suisse bankers ready to join the “new UBS”?

Credit Suisse’s Benjamin Cavalli to take on new role at UBS

“Why do I need two RMs?” UBS faces challenges of US$600bn Asia book

July 2023

Revealed: The Credit Suisse execs taking top jobs at UBS in APAC

Post-merger APAC AUM is about US$800 billion: UBS’s Edmund Koh

UBS loses another top Credit Suisse banker

Indonesia rainmaker leaves UBS GWM as new leadership takes shape

Credit Suisse veteran secures North Asia top operating role at UBS

UBS unable to find role for Credit Suisse APAC CIO after merger

New UBS org chart: but where are the Credit Suisse bankers?

August 2023

UBS hits decade-high in quarterly net new money

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