Switzerland is preparing emergency measures to speed up the takeover of Credit Suisse by UBS.
That’s what the Financial Times claims, citing two sources with knowledge of the developments.
Earlier, Swiss newspaper Neue Zürcher Zeitung reported on its website that the Swiss government held an emergency meeting tonight to discuss developments surrounding Credit Suisse.
According to the Financial Times, UBS, Credit Suisse and the Swiss banking regulator Finma want to finalize the merger agreement this evening.
The Bloomberg news agency reported that the American authorities have joined the negotiations and are working with the relevant Swiss authorities to reach an agreement.
UBS seeks guarantees for takeover by Credit Suisse
Earlier, Bloomberg reported that UBS is seeking guarantees from the Swiss government to cover future risks if it goes ahead with its takeover of Credit Suisse.
UBS discussed scenarios in which the government would bear certain legal fees or other specific losses in a deal, it said, citing sources who declined to be named, describing private conversations. Switzerland’s biggest bank is considering buying all or part of its smaller rival, prompted by regulators to stem a crisis of confidence.
According to sources, the most likely scenario would be that UBS buys Credit Suisse to acquire its wealth and asset management units while potentially selling its investment banking division.