BlackRock has already made its intentions known to the Swiss bank, which is in advanced talks with UBS on a transaction that could result in a full or partial combination
BlackRock is finalizing a rival bid for Credit Suisse in an attempt to thwart UBS’s plan to take over the bank, which could be consummated this weekend as it is blessed by the Swiss central bank.
According to the Financial Times, the U.S. investment group is evaluating options and working with other investors, and it is not ruled out that they will bid only for parts of Credit Suisse’s business. BlackRock has already communicated its intentions to the Swiss bank, which is in parallel advanced talks with UBS on a transaction that could result in a full or partial combination. BlackRock co-founder and CEO Larry Fink worked at First Boston, Credit Suisse’s investment banking business, and is the prime mover in the negotiations. BlackRock has for years been one of the Swiss bank’s biggest investment banking clients, particularly in its fixed-income operations.
UBS is trying to take over Credit Suisse
UBS, Switzerland’s largest bank, is considering buying rival Credit Suisse as a way of dealing with the uncertainty that has been hanging over the sector for days. This possible operation is the priority for the Swiss authorities, as the distrust surrounding Credit Suisse has continued in recent days despite the 50 billion liquidity injection provided by the Swiss National Bank. The boards of directors of the two banks will meet over the weekend to discuss the transaction, which is being closely monitored by the Swiss National Bank and its market supervisor, Finma. The aim of these maneuvers is to resolve the Credit Suisse crisis before the markets open on Monday.
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