Weeks after UBS took over its Swiss rival Credit Suisse bank, the Swiss banking giant has opposed an initial public offering for Credit Suisse’s domestic unit.
A Swiss media report cited UBS CEO Sergio Ermotti as saying that such a move may strengthen UBS’s international competitors after UBS agreed in March to buy Credit Suisse in an emergency-brokered rescue.
Swiss politicians urged UBS to split off Credit Suisse’s domestic branch and list it on the Swiss stock exchange to preserve jobs, increase competition, and limit the risk of broader contagion if UBS were to fail, as per Swiss media reports, or Moti may still consider spinning off a combination of UBS and Credit Suisse domestic banks under the name UBS Switzerland as long as UBS maintains a majority stake here.
