The Swiss bank UBS (UBSG.S.) has announced that it has formally begun the integration of Credit Suisse’s parent bank. This marks a significant next step in the first merger of two globally essential banks.
The Financial Institution released a statement stating that the board of directors of UBS AG had approved the merger of the two parent banks, UBS AG and Credit Suisse AG.
“The completion of the merger is subject to regulatory approvals and is expected to happen in 2024,” according to an announcement from UBS.
It has previously stated that it anticipates merging the parent banks, the respective Swiss businesses, and the intermediate holding companies in the United States in 2024.
Due to this change, Credit Suisse will no longer be able to operate as an independent bank, allowing the company to experience the initial waves of customer migration in its core operations.
UBS’s chairman and chief executive officer have both issued a warning that the merger will not be a simple process and that 2024 will be a pivotal year from an operational point of view.
In November, Sergio Ermotti, the CEO of UBS, stated that it was anticipated that synergies would be realized in the years 2025 and 2026.