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Swiss spin off? UBS set to carve up Credit Suisse after shotgun marriage

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Credit Suisse's Swiss business may be spun out by UBS, according to reports
Credit Suisse has warned that it may face a $2.2bn loss in the third quarter as it attempts to deal with legacy loans and problematic parts of its business.

As UBS’s takeover of former rival Swiss bank Credit Suisse nears completion, details are emerging of what the new merged bank will look like.

UBS is working towards spinning off the Swiss part of Credit Suisse and having the business’s current head, Andre Helfenstein, run it, NZZ am Sonntag reported on Sunday.

The Swiss newspaper cited a source as saying UBS had come around to the idea of a spin-off, which it initially deemed “out of the question”, amid growing public and political pressure.

UBS executives have repeatedly said that all options were still on the table concerning Credit Suisse’s domestic business.

NZZ also reported several sources as confirming that former co-head of UBS’s global wealth management division, Tom Naratil, would rejoin the bank, having stepped down in October.

UBS declined to comment.

Reuters