Friday, November 6, 2026

UBS to buy distressed rival bank Credit Suisse

It may be the biggest restructuring of the global banking sector since the 2008 financial crisis when rivals acquired defunct financial powerhouses to stop calamitous collapses.

• March 20, 2023
UBS and Credit Suisse used to illustrate the story
UBS and Credit Suisse

As part of the effort to stop the financial panic that has gripped the world over the past week, Switzerland’s largest bank, UBS, decided on Sunday to purchase its struggling rival Credit Suisse for roughly $3.2 billion.

The agreement, which the Swiss government secured over a few days, heralds the shocking end of the 166-year-old institution that was once a source of Swiss pride. 

It may be the biggest restructuring of the global banking sector since the 2008 financial crisis when rivals acquired defunct financial powerhouses to stop calamitous collapses.

“This is a historic day in Switzerland, but frankly, a day we hoped would not come,” New York Times quoted Colm Kelleher, UBS’s chairman, told have said on Sunday.

According to Swiss government officials and regulators, the agreement is the most effective approach to reassure investors about the stability of the nation’s financial industry and the likelihood that its problems would not spread outside.

At a news conference, Karin Keller-Sutter, a member of the Swiss Federal Council, explained that UBS’ takeover of Credit Suisse “has laid the foundation for greater stability both in Switzerland and internationally.”

“We welcome the announcements by the Swiss authorities today to support financial stability,” a joint statement from Janet Yellen, the Treasury secretary, and Jerome Powell, the chair of the Federal Reserve, read.

Under the agreement, UBS will exchange 0.76 of one of its shares for each share of Credit Suisse, valuing the latter at around $3.2 billion (or 3 billion Swiss francs), a minor portion of its Friday market value.

Credit Suisse, founded in 1856 to finance Switzerland’s rail system, rose to the highest echelons of the financial world, occasionally competing head-to-head with U.S. giants like JPMorgan Bank.

The Zurich-based bank, however, has also been plagued by decades’ worth of scandals, management changes, and reform initiatives that have tarnished its reputation, drawn legal attention, and left it bleeding from losses. 

The current decline in banking equities, sparked by Silicon Valley Bank’s demise last month, highlighted how terrified investors are by bringing its long-standing weaknesses into stark perspective and hastening its demise.

We have recently deactivated our website's comment provider in favour of other channels of distribution and commentary. We encourage you to join the conversation on our stories via our Facebook, Twitter and other social media pages.

More from Peoples Gazette

Nigerian Bar Association

States

Independence: NBA urges Nigerians to expect better future

The NBA said that ordinary Nigerians should be deriving benefit from the subsidy removal rather than hardship.

farmers

Agriculture

FG tasks ECOWAS on leveraging financing strategies for agroecology

The federal government has urged stakeholders in the agriculture and finance sectors in the West Africa region to leverage financing strategies to enhance agroecology practices

Katsina State

Politics

Katsina youths pledge to deliver over 2 million votes to Atiku

“Katsina State is Atiku’s political base because it is his second home.”

Yobe State Governor, Mai Mala Buni

Politics

Gov Buni’s achievements make APC’s 2027 campaign easier: Commissioner

Kaigama Umar, Yobe’s commissioner for commerce, industry and tourism, says Governor Mai Buni’s developmental achievements will shape the party’s election campaign.

Lagos market

Rights

LASCOPA resolves 10,720 complaints, secures N759 million redress

LASCOPA says it has secured ₦759.35 million in consumer redress and resolved 10,720 complaints in six years.

Africa

South Africa extend AACT lead as Kenya’s Muthomi tops individual standings

The defending champions returned a combined score of 309 after 36 holes on Thursday to maintain their lead in the week-long championship.

Showbiz

Shettima challenges Nigerians, other Africans to monetise creative power

According to the vice-president, Nigeria’s hosting of CANEX Weekend for the first time recognises the country’s growing influence in the creative economy.

Showbiz

CANEX WKND 2026 opens in Lagos, brings together leading African creatives

Afrieximbank said its commitment to Africa’s creative and cultural industries had grown from an initial $500 million in 2020 to $2 billion.

Anti-Corruption

FBI nabs top judge for accepting $2 million bribe to free Canadian drug trafficker

The judge was arrested in Colombia over allegations that he accepted a $2 million bribe to grant bail to Canadian drug trafficker Andrew Clark.