According to two sources familiar with the arrangements, the Swiss government and UBS Group AG are rushing to complete the acquisition of Credit Suisse Group AG as soon as possible in an effort to keep the lender’s customers and staff.
But, because authorities in tens of countries must approve the acquisition for it to go through, the combination of Credit Suisse and UBS might take months, according to the people, who requested anonymity due to the nature of the conversation.
UBS and Credit Suisse’s spokespeople declined to comment.
“UBS has fully committed to the acquisition of Credit Suisse. Consequently, it is vital for both parties to take every conceivable action to ensure the takeover’s success “The next two weeks will be crucial, Swiss National Bank Chairman Thomas Jordan stated on Thursday.
This is extremely necessary, and both parties have pledged to do everything in their power to ensure the takeover’s success.
At the same press conference, when asked for more specific information on when the deal might close, the vice chairman declined to answer.
UBS Chairman Colm Kelleher stated on Sunday, “We will conclude this merger as rapidly as we can. We are awaiting final regulatory approvals across the globe. “It will take weeks or barely months to close this deal,”
Credit Suisse will find it more difficult to maintain its business the longer the merger takes to finalise since the uncertainty erodes trust in the institution.
According to an email obtained by Reuters on Monday, the electronic stocks desk at Bank of America has stopped trading with a desk at Credit Suisse that used computer-driven tactics.
In order to entice employees away from Credit Suisse, Wall Street banks and European businesses are easing hiring freezes, according to a Thursday Bloomberg News article.