UBS buys Credit Suisse for 0.76 Swiss francs per share, or 3 billion Swiss francs. This is what we read in a note. "The integration" between Credit Suisse and UBS "strengthens Switzerland as a global financial center," says UBS Chairman Colm Kelleher.

"This is not a bailout, but a commercial solution," say the Swiss authorities commenting on the marriage between Credit Suisse and UBS, while Kelleher declares: "This acquisition is interesting for UBS shareholders but, let's face it, as far as Credit Suisse is concerned, it is an emergency rescue. We have structured a transaction that will preserve the value remaining in the business while limiting our exposure. The acquisition of Credit Suisse's capabilities in Wealth, Asset Management and Swiss Universal Banking will strengthen UBS's strategy to grow its low-capital businesses. The transaction will benefit clients and create long-term sustainable value for our investors," said the UBS chairman.

The merger between Credit Suisse and UBS "should be completed by the end of 2023, if possible." This is according to the Credit Suisse press release announcing the merger of the two Swiss banks.

Swiss government, acquisition by UBS guarantee stability

The Swiss Federal Council "approves the planned acquisition of Credit Suisse by UBS. In order to strengthen the stability of the financial market, the Confederation is granting a guarantee for additional liquidity support to Credit Suisse by the Swiss National Bank (SNB) until the acquisition is completed. This support serves to ensure Credit Suisse's liquidity and successful implementation of the acquisition. The aim of the intervention is to protect financial stability and the Swiss economy."

This is what we read in a statement published on the online portal of the Swiss government.

Ralph Hamers to be CEO of Credit Suisse-UBS

UBS CEO Ralph Hamers will lead the bank that will be born from the marriage between Credit Suisse and UBS. The transaction will be done without the approval of shareholders.

Guarantees for employees

The Swiss Minister of Finance, Karin Keller-Sutter, asked for guarantees for employees after the announced acquisition. The Federal Council expects employers to give these people certainty about their workplace as quickly as possible, he added at a press conference in Bern. The operation announced this evening also entails risks for the Swiss Confederation and the business location, but they are significantly lower than any other scenario, the minister continued.

"The financial centre had to be protected and so did our economy. A collapse of Credit Suisse would have had very serious consequences for Switzerland and the world," she said, stressing that UBS's acquisition of Credit Suisse "is a solid solution" to ensure financial stability. She stressed the government's regret that Credit Suisse had not been able to overcome its difficulties and stressed that Switzerland had to take its responsibilities to restore confidence in the markets.

Lehmann: "Best possible result"

"Given the recent extraordinary and unprecedented circumstances, the announced merger represents the best result available." Axel P. Lehmann, Chairman of the Board of Directors of Credit Suisse, said in a statement after the agreement with UBS "This has been an extremely challenging period for Credit Suisse and, while the team has worked tirelessly to address many significant issues and to implement its new strategy, we are forced to reach a solution today that provides a lasting result."