UBS Expects Completion of Credit Suisse Merger by July 1, 2024

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According to a senior executive at UBS, the merger of the Swiss units of UBS and Credit Suisse is on track to be completed as early as July 1, 2024. UBS had previously outlined plans to combine the two units during the third quarter of this year, following its acquisition of Credit Suisse last year after the latter’s collapse.

Sabine Keller-Busse, president of UBS Switzerland, stated in an interview with the Neue Zuercher Zeitung newspaper that the merger plan is progressing “very well.” She expressed confidence that the merger could be finalized by July 1, marking a significant milestone in the integration process.

Keller-Busse also revealed that customers would begin transferring to UBS’s IT systems throughout 2025, indicating the phased approach to the integration process. The completion of the merger of the parent companies of UBS and Credit Suisse occurred at the end of last month, consolidating Switzerland’s banking landscape into a single global entity with a balance sheet approximately twice the size of the country’s annual economic output.

The successful integration of Credit Suisse into UBS is crucial to the deal’s overall success, with UBS aiming to leverage synergies and streamline operations following the merger. Keller-Busse addressed concerns about layoffs resulting from the merger, confirming that around 3,000 job cuts are anticipated in Switzerland due to the consolidation.

Regarding speculation about her potential candidacy to succeed UBS CEO Sergio Ermotti, who is expected to step down within the next three years, Keller-Busse remained focused on her current role. She emphasized her commitment to her position, stating, “I have one of the most interesting jobs in the banking industry,” and dismissed speculation about her future as “irrelevant.”

As UBS moves forward with the integration process and prepares for the completion of the merger with Credit Suisse, stakeholders will closely monitor the execution and outcomes of the consolidation efforts, anticipating the long-term impact on Switzerland’s banking sector and UBS’s strategic direction.