Swiss Officials , Reach Emergency Deal , to Save Credit Suisse.
On March 19, Swiss officials announced
a last-minute deal for an emergency takeover of
the troubled Credit Suisse by fellow banking titan UBS.
On March 19, Swiss officials announced
a last-minute deal for an emergency takeover of
the troubled Credit Suisse by fellow banking titan UBS.
NPR reports that Swiss president Alain Berset
announced the deal, claiming it was critical
for stabilizing the global banking sector.
NPR reports that Swiss president Alain Berset
announced the deal, claiming it was critical
for stabilizing the global banking sector.
According to the deal, UBS Group AG
will make an all stock purchase
of $3 billion for Credit Suisse.
According to the deal, UBS Group AG
will make an all stock purchase
of $3 billion for Credit Suisse.
As an additional bonus to the deal,
the Swiss central bank will also reportedly
give UBS an extra $100 billion. .
NPR reports that the last-minute emergency takeover
of Credit Suisse comes as the latest evidence
of ongoing banking troubles that began with , the collapse of Silicon Valley Bank. .
NPR reports that the last-minute emergency takeover
of Credit Suisse comes as the latest evidence
of ongoing banking troubles that began with , the collapse of Silicon Valley Bank. .
Prior to the latest deal being reached,
the Swiss central bank had attempted to save
Credit Suisse with a $54 billion lifeline loan. .
Prior to the latest deal being reached,
the Swiss central bank had attempted to save
Credit Suisse with a $54 billion lifeline loan. .
However, the sizable loan
was not enough to stabilize
the faltering financial institution.
NPR reports that the most worrisome aspects of
Credit Suisse's recent troubles is that the bank is
known as a "global systemically important bank.".
According to NPR, this means that the potential
failure of Credit Suisse has the ability to send
shockwaves throughout the global economy. .
Before becoming one of the most significant banks in
the world, Credit Suisse was formed to help finance
Switzerland's burgeoning rail network 166 years ago. .
Before becoming one of the most significant banks in
the world, Credit Suisse was formed to help finance
Switzerland's burgeoning rail network 166 years ago.
