UBS completes takeover of Credit Suisse, embarks on 'bumpy' integration

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UBS completes takeover of Credit Suisse, embarks on 'bumpy' integration
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ZURICH: UBS said Monday (Jun 12) that it had finalised the takeover of its former rival Credit Suisse, clearing the way for a Herculean task of integration that will be closely watched by clients, employees and Swiss political leaders. The coming months are likely to be 'bumpy',

ZURICH: UBS said Monday that it had finalised the takeover of its former rival Credit Suisse, clearing the way for a Herculean task of integration that will be closely watched by clients, employees and Swiss political leaders., saying the government-orchestrated operation would require"waves" of difficult decisions, particularly regarding employment.

UBS has been preparing since mid-March and already has an idea of what it wants to keep, close or sell but"so far they are limited in what they could do" until the merger was sealed, Venditti said. The Swiss government, the central bank and financial regulators stepped in and strongarmed UBS into a US$3.25 billion takeover announced on March 19.

Many questions surrounding the merger remain unanswered, but Venditti said the picture should be clearer after second-quarter financial results emerge.Ipek Ozkardeskaya, an analyst at Swissquote Bank, said"talent retention" would be one of the biggest challenges, as staff departures multiply in the face of downsizing fears.

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