Credit Suisse's merger with UBS is expected to be completed by June 12, the two banks announced Monday, adding that Credit Suisse shares will be delisted. The withdrawal concerns both Credit Suisse's shares on the Swiss Stock Exchange and its certificates of deposit on the New York Stock Exchange, the two banks said in separate statements. If the acquisition is completed before trading opens in the United States on June 12, the delisting from the New York Stock Exchange will take place on June 12 but on June 13 on the Swiss Stock Exchange. If the transaction is finalized after the opening of trading in the United States, the delisting will take place on June 13 on both stock exchanges, said the Credit Suisse press release.
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On March 19, UBS agreed to buy Credit Suisse under pressure from the Swiss authorities for the sum of 3 billion Swiss francs (an equivalent sum in euros) in order to avoid bankruptcy. The Swiss Stock Exchange has approved Credit Suisse's request for delisting from the stock exchange, which was filed on June 2, the Swiss stock exchange said in a statement. The last trading day will be communicated at the latest during the last session before the opening of trading by means of official information, says the Swiss Stock Exchange.
UBS initially aimed to close the transaction at the end of June. At a financial fair in Zurich, however, its chief executive, Sergio Ermotti, had hinted that the merger could take place earlier, around the end of May or beginning of June. This merger will create a banking colossus at the head of 5000 billion dollars (4673 billion euros) of invested assets. The size of the bank that will emerge from this merger raises serious concerns in Switzerland, both for employment and competition and for its weight in relation to the size of the Swiss economy.
