UBS bails out CS: century old rivalry ends up in firesale

The acquisition of Credit Suisse by UBS is reminiscent of J.P. Morgan’s takeover of Bear Stearns in 2008 for a discounted price of US$240m. The troubled US bank had once been valued at US$140 billion. This time UBS is paying US$3 billion when Credit Suisse was valued at US$8 billion (17 March) before the deal was brokered. Credit Suisse will continue to operate ‘in the ordinary course of business’ and collaborate with UBS as the restructuring and integration goes ahead. [It]